Dynamism or descent: What can Australia do to avoid the slow growth trap?
Much of the rich world has been trapped in sluggish economic growth for almost a decade. Australia has avoided the slow growth trap so far. But as the mining boom subsides, incomes, employment and wages have stagnated and underemployment has crept up. Non-mining investment has not picked up much. The government is struggling to balance the budget while interest rates are at record lows.
At this Policy Pitch event, three Australian economists discussed the low growth problem and Australia’s prospects and policy priorities:
- Why has the rich world stagnated since the financial crisis of 2008?
- Is Australia at risk of joining the low growth club?
- What can policymakers do to avert a slowdown and reignite growth?