Category Archives: Macroeconomy

Pascoe spot on – we don’t yet fully comprehend the extent of the resources boom

Posted on March 26, 2012 by Gene Tunny

Michael Pascoe had a great article published today (What Campbell can’t do) that begins with a fascinating story and contains an observation about the resources boom that I fully agree with: In suburban Brisbane last week the world’s largest industrial … Continue reading →

Posted in Macroeconomy, Mining | 2 Comments

Australia Institute’s mining boom analysis ignores benefits to consumers

Posted on March 20, 2012 by Gene Tunny

Canberra-based think tank the Australia Institute has an interesting (though tendentious) paper out today: Job creator or job destroyer? An analysis of the mining boom in Queensland The paper notes: The mining boom is causing large structural changes to both … Continue reading →

Posted in Macroeconomy, Mining, Tourism | 2 Comments

Treasury needs to read Govt minimum wage submissions more closely

Posted on March 18, 2012 by Gene Tunny

If I remember correctly Australian Government submissions to the national minimum wage review are drafted by the Department of Employment, etc but get cleared by central agencies, including the Treasury, so there is no excuse for an economically illiterate statement … Continue reading →

Posted in Labour market, Macroeconomy | Leave a comment

Resources sector investment driving State demand

Posted on March 10, 2012 by Gene Tunny

The resources states of Queensland and WA were the heroes of the ABS National Accounts released on Wednesday, with very strong growth in State Final Demand recorded over 2011: But nationally economic growth was lacklustre, and the two-speed economy continues, … Continue reading →

Posted in Infrastructure, Macroeconomy, Mining | Leave a comment

Huge surge in mining capital expenditure means healthy Qld economy

Posted on March 2, 2012 by Gene Tunny

Yesterday’s new private sector capital expenditure data from the ABS shows the Queensland economy is in excellent health and will easily reach Queensland Treasury’s forecasts of economic growth of 4.25% and a 35% pick up in business investment in 2011-12. … Continue reading →

Posted in Macroeconomy, Mining, Tourism | Leave a comment

Qld Treasury expects recovery in interstate migration and building industry

Posted on February 24, 2012 by Gene Tunny

Queenslanders can expect the State’s sluggish building industry and interstate migration to rebound this year, according to Queensland Treasury’s Office of Economic and Statistical Research (OESR). In its latest Queensland Economic Review, OESR notes: …a number of factors should support … Continue reading →

Posted in Macroeconomy, Migration | 1 Comment

The 4% unemployment rate target – achievability vs sustainability

Posted on February 21, 2012 by Gene Tunny

There is a good post at Loose Change on the sustainability of the Opposition’s 4% unemployment rate commitment, which links to my previous post showing that the commitment is feasible, in an arithmetic sense at least. On its sustainability, my … Continue reading →

Posted in Labour market, Macroeconomy | 3 Comments

Qld business investment grew at nearly 15% per quarter in mid-2011

Posted on February 17, 2012 by Gene Tunny

OESR’s State Accounts for September 2011, which were released today, contain this chart showing the massive growth in business investment (primarily resources sector related) in the June and September quarters of last year: The massive level of investment occurring across … Continue reading →

Posted in Macroeconomy, Mining | Leave a comment

Even closer economic relations with New Zealand?

Posted on February 15, 2012 by Gene Tunny

As the world’s most remote advanced economy, and with limited resources and low visibility in international financial markets, New Zealand would see benefits in closer integration with Australia, which the two countries’ Productivity Commissions have just been commissioned to explore. … Continue reading →

Posted in Budget, Macroeconomy, Migration | Leave a comment

RBA makes right decision for the national economy

Posted on February 7, 2012 by Gene Tunny

In leaving interest rates unchanged, the RBA has clearly demonstrated its focus is solely on the national economy – that is, it appears comfortable with the two-speed economy which this year will see Queensland and WA surging with NSW and … Continue reading →

Posted in Macroeconomy | Leave a comment