“The latest national accounts confirmed the Australian economy continuing to muddle along, with economic growth of just 0.4% for the December quarter, down from 0.7% in the September quarter and 0.8% in the June quarter. Annual GDP growth slipped to 2.4%.
The economy continues to undershoot the expectations of both treasury and the Reserve Bank of Australia who are banking on annual GDP growth lifting above 3% for the next two years.
The reasons for this less-than-robust growth performance are many, but do not include global economic weakness as a factor. It is humming along, registering its strongest performance since the economic crisis of 2008.
The Coalition government lead by prime minister Malcolm Turnbull makes much of its management of the economy with its “jobs and growth” slogan, which will doubtless be a key factor in its campaign strategy as the next election draws near.
No doubt buoyed by polling that consistently shows the Liberal Party to be a better economic manager than Labor, the Coalition will go hard on the economy as it strives to turn the polls.
All this prompts the obvious question – just how valid is the claim that the Liberal Party is a superior economic manager to Labor?”