Sunday, 18 December 2016

Current Australian Real Gross Domestic Product figure is no reason to panic

Australia has enjoyed 25 consecutive year of Gross Domestic Product (GDP) growth.

This is what the last ten years of that growth looked like:

So  when that arch enemy of sound economic principles, Federal Treasurer and Liberal MP for Cook, Scott Morrison, starts yelling that the sky is falling and Santa Claus is dead – remember the only weapon in his armoury across all three portfolios he has held (Immigration, Social Services & Treasury) is The Big Scare.

Like all his big scares this one is designed as warfare against the weak and vulnerable, so expect the MYEFO (mid-year budget update) released tomorrow to be structured to deliver doom and gloom.

According to Yahoo! News: The last time Australia was in recession, Sale of the Century was on the nation’s televisions and people endured Bryan Adams’ (Everything I Do) I Do it for You as the number one song for 11 long weeks.

So if a 77 year-old Tony Barber isn’t fronting a new television game show this month and a 57 year-old Bryan Adams hasn't returned to centre stage from the musical back blocks he currently tours, then I suggest you don't have worry about an economic recession just yet.

Otherwise, enjoy your festive season in the sure knowledge that federal parliament is in recess until 7 February 2017 and therefore pollies can do no further harm for the remainder of 2016.

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