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Now we'll need $100-$120 billion. Why the budget has to spend big to avoid scarring

  • Written by The Conversation
Now we'll need $100-$120 billion. Why the budget has to spend big to avoid scarringChingfoto/Shutterstock

Australia is in for a long and damaging economic slump, unless governments inject substantially more fiscal stimulus.

The July budget update forecast that unemployment would hit 9.25% in coming months.

The Treasury now apparently expects it to remain above 6% for the next half-decade.

That would be a disastrously sluggish...

Read more: Now we'll need $100-$120 billion. Why the budget has to spend big to avoid scarring

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