Those who think the government has an economic policy will struggle to find one in this Budget. Indeed anyone who thinks there was an economic problem to apply it to will have trouble finding that too. Despite all the talk of the ‘cancer’ of inflation, Swan’s expectation that inflation will fall back to 3% next year is even more benign than the RBA which expects it to happen a year later. Read more »
There is starting to be some fairly tortured analysis doing the rounds in the press in the run up to next Tuesday’s Budget. The basic argument seems to be the same: Swan faces some tough decisions in the Budget and will have to do some careful juggling if he is to balance the highly complex demands of Australia’s current economic position.
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