Thursday, 10 April 2014

Joe's Ploy?


Mr. Hockey seems to be making a big song and dance about how I.M.F. predictions of sharply slowing growth in the Australian economy support his intention to drop a nasty dose of budget medicine on us next month.

But wait... The I.M.F. assumptions are apparently based on trend growth figures which are now redundant. Instead of maintaining a developing slump evident in the last quarter of 2013, key indicators in the economy (eg. housing and retail) have resumed an upward curve along with the Oz dollar. This may well expose the treasurer's action and pronouncements as a desire to reshape the economy to conform with his party's political doom and gloom scenario rather than be justified by the real situation?

Could our Joe have pulled a swifty on the I.M.F.?

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