『原文』 National Accounts Anyone?
More than 1 million jobs have been created since the Coalition came to office in 2013, and last calendar year was the strongest jobs growth on record, with more than 1,000 jobs created on average every day.
According to the Australian Bureau of Statistics (ABS), the economy grew by 1.0% in the March quarter to be 3.1% higher than a year ago. This is the strongest annual growth rate in around two years and is above the long-run average.
Australia has climbed back to the top of the global leader board, leading the major advanced economies of the world, bettering the average growth of the OECD and all G7 nations once again. China is not part of this comparison.
The results validate the Turnbull McCormack Government’s budget forecasts and confirm the strengthening economic outlook presented in the Budget in May 2018.
The figures show growth was broad-based with all components contributing to growth in the quarter, including household consumption, new public final demand and net exports.
Over 1 million jobs have been created under the Coalition Government and having more Australians in work is having a great impact on the economy.
Household consumption grew by 0.3% in the quarter and is 2.9% higher than a year ago. This has been driven by increases in 15 of the 17 consumption categories over the past year. Over half of our annual growth has been driven by household consumption.
As the economy strengthens and households continue to do their part for the economy, the Turnbull McCormack Government remains committed to back them in by providing targeted tax relief through Personal Income Tax Plan for lower, fairer and simpler taxes.
This plan is rightfully designed to provide initial support for lower and middle-income earners who have done so much to support the economy as it transitions out of the mining investment boom.
As the economy has grown and the labour market has strengthened, what we are paid, or compensation of employees, has improved. Compensation of employees recorded solid growth of 1.2% in the quarter and is up 5.1% over the year. This is the strongest annual result seen in almost six years.
Over 40% of the increase in the quarter and around a third of the annual increase is being driven by employees earning more or an increase in average wages. The results show that not only are more Australians in jobs, they are earning more in those jobs.
Australians have worked for this increase in income and the Turnbull McCormack Government is committed to ensuring they keep more of it?
The growth in jobs has mainly been driven by non-mining businesses, who are investing and expanding, taking advantage of some of the best reported business conditions on record.
Treasury estimates that new non-mining business investment grew by 1.8% in the quarter and 10.0% through the year. Non-mining investment has grown for eight consecutive quarters, the longest continuous growth since before the start of the mining investment boom.
New machinery and equipment investment grew for the fourth consecutive quarter to be 9.3% higher than a year ago. This is the highest annual growth rate since the peak of the mining investment boom in 2012 and twice the long run average and is being driven by utes and other commercial vehicles.
Following the drag from last quarter, net exports bounced back in the quarter contributing 0.3 %points to growth.
Exports were up 2.4% in the quarter to be up 4.6% over the year, with strength seen in mining and services exports.
Imports were up 0.5% in the quarter, encouragingly a lot of this came through capital imports, in line with the momentum in non-mining business investment.
The results show why the Coalition Government remains focused on gaining greater access to international markets for local exporters.
Turning to the income side, nominal GDP, which plays an important role in the Budget also remains on track, growing 2.2% in the quarter to be 3.9% higher than a year ago.
Looking at the overall performance of companies during the quarter, corporate profits were up 5.0%, with strong contributions from both non-mining and, particularly, mining profits. However, this strength in mining profits cannot be taken for granted and the Government continues to maintain a prudent assumption for commodity prices.
Stronger profits allow Australian businesses to invest more and employ more Australians.
As noted previously, compensation of employees has risen strongly, up 1.2% in the quarter and up 5.1% through the year. In annual terms, corporate profits and wages and salaries are growing at broadly similar rates.
Overall household gross disposable income grew by 0.7% in the quarter to be 2.8% higher over the year, while the household saving ratio ticked down to 2.1%.
What is your take on the overall result?
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