IndyWatch Australian Economic News Feed Archiver

Go Back:30 Days | 7 Days | 2 Days | 1 Day

IndyWatch Australian Economic News Feed Today.

Go Forward:1 Day | 2 Days | 7 Days | 30 Days

IndyWatch Australian Economic News Feed was generated at Australian News IndyWatch.

Sunday, 25 February

14:27

Gross domestic product "IndyWatch Feed Economics.au"

Rebound

The economy went through a couple of soft patches after the financial crisis and after the mining construction boom finished.

But it is now picking up again.

Let's take a quick look at a few of the actual numbers from the national statistician.

Growth in the economy

Over the year to September 2017, Australia's real GDP grew by +2.8 per cent. 

It is not negative in per capita terms; and nor is the trend slowing (it's been quickening a bit lately). 

The Australian economy grew +0.6 per cent in the September quarter 2017 itself, seasonally adjusted, according to the figures released by the Australian Bureau of Statistics (ABS). 

17 out of the 20 industries recorded growth, driven by Professional, Scientific, & Technical Services, Healthcare & Social Assistance, and Manufacturing. 

The others didn't.

...

11:08

Sydney 2046 "IndyWatch Feed Economics.au"

Infrastructure vision

Like many getting-a-bit-long-in-the-tooth Sydneysiders, I've increasingly been having recurring daydreams about selling a place at Bondi or in the inner west and trading it for a mansion at Maroochydore (or sometimes it's a mooring at Mooloolaba). 

Probably about once a fortnight I have these fantasises, on average, I reckon. 

And then reality bites.

I wake up and find that Infrastructure Australia (IA) has released another report, which always brings me back to earth and reminds me why I invested in inner-Sydney property in the first place. 

Future cities

As ever, IA's Future Cities report presents a range of scenarios.

There's a decentralised scenario which incorporates acres of building and hundreds of thousands of new homes in the south-west.

And then there's a centralised scenario where everyone crams like crazy into zones close to the Central Business District (CBD), and to a lesser extent Parramatta.

And then there's the medium-density scenario, which is a realistic mixture of the two, incorporating population growth...

06:00

Australian Dollar and Bitcoin "IndyWatch Feed Economics.au"

1.00 AUD = 0.00008 BTC
0.00010 BTC = 1.25 AUD
Converter

Go Back:30 Days | 7 Days | 2 Days | 1 Day

IndyWatch Australian Economic News Feed Today.

Go Forward:1 Day | 2 Days | 7 Days | 30 Days

Saturday, 24 February

10:30

Bitcoin Is Finding Its Way into High Schools "IndyWatch Feed Economics.au"

Bitcoin Is Finding Its Way into High Schools

Over the past few years, colleges and universities all over the world have been creating courses revolving around cryptocurrencies and blockchain technology. Now the subject is slowly infecting the halls of high school students who want to learn about these emerging technologies. Because of the increased student interest, this week a Business and Personal Finance teacher from Union Catholic High School in Scotch Plains, New Jersey announced plans to add the topic of cryptocurrencies to his course next semester.

Also read: Ross Ulbricht Denied Post-Conviction Relief Extension

Younger Generations Are Becoming Very Interested In Bitcoin

Students all over the world are interested in cryptocurrencies and the subject is being taught throughout many college campuses. However, the trend is starting to find its way into high school classrooms as younger scholars are fascinated by this technology. Just recently news.Bitcoin.com reported on a high school in Brisbane Australia where students had such an interest in bitcoin that it prompted students to create a cryptocurrency information night. This week the students at Union Catholic High School in Scotch Plains, New Jersey are also curious about digital currencies and the schools Business and Personal Finance class plans to add cryptocurrencies to the course next semester.

...

07:52

Follow the smart money "IndyWatch Feed Economics.au"

Where ultra-high net worth individuals invest their money:

07:00

The Weekend Quiz February 24-25, 2018 answers and discussion "IndyWatch Feed Economics.au"

Here are the answers with discussion for this Weekends Quiz. The information provided should help you work out why you missed a question or three! If you havent already done the Quiz from yesterday then have a go at it before you read the answers. I hope this helps you develop an understanding of modern monetary theory (MMT) and its application to macroeconomic thinking. Comments as usual welcome, especially if I have made an error.

Question 1:

Estimates of cyclical fiscal balances by the IMF and other bodies are typically biased upward.

The answer is False.

The answer relies on the knowledge that the implicit estimates of potential GDP that are produced by central banks, treasuries and other bodies are too pessimistic.

The reason is that they typically use the NAIRU to compute the full capacity or potential level of output which is then used as a benchmark to compare actual output against. The reason? To determine whether there is a positive output gap (actual output below potential output) or a negative output gap (actual output above potential output).

These measurements are then used to decompose the actual fiscal outcome at any point in time into structural and cyclical fiscal balances. The fiscal components are adjusted to what they would be at the potential or full capacity level of output.

So if the economy is operating below capacity then tax revenue would be below its potential level and welfare spending would be above. In other words, the fiscal balance would be smaller at potential output relative to its current value if the economy was operating below full capacity. The adjustments would work in reverse should the economy be operating above full capacity.

If the fiscal outcome is in deficit when computed at the full employment or potential output level, then we call this a structural deficit and it means that the overall impact of discretionary fiscal policy is expansionary irrespective of what the actual fiscal outcome is presently. If it is in surplus, then we have a structural surplus and it means that the overall impact of discretionary fiscal policy is contractionary irrespective of what the actual fiscal outcome is presently.

So you could have a downturn which drives the fiscal balance into a deficit but the underlying structural position could be contractionary (that is, a surplus). And vice versa.

The difference between the actual fiscal outcome and the structural component is then considered to be the cyclical fiscal outcome and it arises because the economy is deviating from its potential.

As you can see, the estimation of the...

Friday, 23 February

22:59

More jobs & growth "IndyWatch Feed Economics.au"

More jobs

We've seen plenty of evidence that the labour market is picking up through 2017.

And that continues in 2018, with the trend skilled vacancies now heading up for 16 consecutive months. 

Skilled vacancies increase by +10.6 per cent to 183,600 over the year to January 2018, according to the Department of Employment after notching yet another monthly gain. 

The index is now +31.4 per cent or +43,900 vacancies higher than at the October 2013 low point and rising solidly. 


There were robust gains around the states, although the trend for South Australia has been meandering a bit. 


Easier to find work

The median duration of job search also now looks to be falling. 

The fastest city to find a job in has been Sydney for some time (now down to 9 weeks in January), but Melbourne (9 weeks) and Brisbane (9 weeks) also joined Sydney this month. 

Job search figures are highly seasonal, so this will be a trend to watch as 2018 rolls on. 

...

22:36

Weekend reads - must see articles of the week "IndyWatch Feed Economics.au"

See here on how Melbourne's suburban house prices have continued to rise.



While there subscribe for the free newsletter content along with 105,000 others.


IndyWatch Australian Economic News Feed Archiver

Go Back:30 Days | 7 Days | 2 Days | 1 Day

IndyWatch Australian Economic News Feed Today.

Go Forward:1 Day | 2 Days | 7 Days | 30 Days

IndyWatch Australian Economic News Feed was generated at Australian News IndyWatch.

Resource generated at IndyWatch using aliasfeed and rawdog