Excerpts from an AFR article written by Alan Mitchell:
Healthy growth forecast hides pain
According to the Treasury, 2003-04 will be an OK year for the economy.
The economy is expected to grow by 3.75 per cent over the 12 months to June 2004 - which is better than we managed in 2002-03, and not at all bad considering that the United States is struggling back on its feet and Europe and Japan will be growing by about 1 per cent or less.
But, 2003-04 could be a very chilly year for a lot of Australians.
The non-farm economy, which is about 97 per cent of the total economy, will grow only by about 2.75 per cent this year. That's a big drop from the 4 per cent annual growth rates to which we have become accustomed.
* * *
It will be a harder year in the housing construction industry, although economists will call it a soft landing. Housing construction is expected to fall by 7 per cent over the 12 months to June, which is mild by the standards of housing downturns.
* * *
the worm has turned...... (?)
MB
Healthy growth forecast hides pain
According to the Treasury, 2003-04 will be an OK year for the economy.
The economy is expected to grow by 3.75 per cent over the 12 months to June 2004 - which is better than we managed in 2002-03, and not at all bad considering that the United States is struggling back on its feet and Europe and Japan will be growing by about 1 per cent or less.
But, 2003-04 could be a very chilly year for a lot of Australians.
The non-farm economy, which is about 97 per cent of the total economy, will grow only by about 2.75 per cent this year. That's a big drop from the 4 per cent annual growth rates to which we have become accustomed.
* * *
It will be a harder year in the housing construction industry, although economists will call it a soft landing. Housing construction is expected to fall by 7 per cent over the 12 months to June, which is mild by the standards of housing downturns.
* * *
the worm has turned...... (?)
MB
