Audio interview

Are we looking at the wrong measure of economic wellbeing?

Household finance Economic indicators Economic forecasting Population forecasting Financial inclusion Australia

Successive treasurers have hailed Australia's long run of economic growth as a standout compared to the rest of the world. But if it's so good, how come many of us are feeling worse off? It could be because we're looking at the wrong measure of economic wellbeing.

That's the finding of a new report by the Commonwealth Bank, which argues that high population growth is masking economic weakness.

Commonwealth Bank senior economist, Gareth Aird, says Australian households are paying a heavy price.

'Despite the fact the economy's growing at what looks like a healthy clip on the surface, the way that transfers to how households feel at the moment suggests that things aren't too crash', he says. 'When you drill it back down to the household level, it's been a pretty tough five years for most households'.

He says there should be a policy discussion around how households are impacted by immigration and population growth.

Publication Details
Access Rights Type: