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Capital shallowing strips Australian productivity growth

October 1, 2025 - 12:00 -- Admin

Analysis from the OECD, published in The AFR, shows that Australia ranks second-last among wealthy nations in terms of productivity growth since the COVID-19 pandemic. EY’s chief economist, Cherelle Murphy, says the decline is partly attributable to “capital shallowing”—the fact that local companies are not investing enough capital in new equipment to match the growth

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