Latest

May
22
Why real wages had to fall

Why real wages had to fall

Real wages in Australia have stagnated because the pandemic made us all poorer; a lack of wage growth just reflects that reality. If we push wages further above productivity, we risk disemployment, a wage-price spiral, and even a painful recession.
7 min read
May
20
Cutting migration won't solve the housing crisis

Cutting migration won't solve the housing crisis

Peter Dutton claims cutting migration will free up over 100,000 homes and fix Australia's housing crisis. But his numbers don't add up and the impact will likely be minimal. Dutton's playing to anti-migration sentiment rather than addressing the real policy drivers behind unaffordable housing.
8 min read
May
17
Friday Fodder (19/24)

Friday Fodder (19/24)

Biden's tariffs are a glimpse into our Future Made in Australia; the Americans are an innovative bunch (no wonder they're so productive); who benefits from the welfare state; the post-pandemic war on prices; and how the Jevons Paradox is shaping artificial intelligence.
7 min read
May
15
AI image of the club house of bad ideas.

Let's not make the housing crisis even worse

The government's policies are unlikely to solve Australia's current housing crisis, which stems from both long-term zoning issues and a recent spike in construction costs. But it could be worse - at least they've avoided reckless ideas like rent freezes, which would devastate the housing market.
11 min read
May
13
Image showing Albanese, Chalmers and Bullock.

An independent RBA is better than the alternative

An independent Reserve Bank of Australia is crucial for economic stability and low inflation. However, a big-spending Budget and attempts to politicise the central bank would jeopardise its independence, leading to higher inflation.
9 min read
May
10
Friday Fodder (18/24)

Friday Fodder (18/24)

Are smartphones poison to young people; why the Victorian and Western Australian Budgets really irk me; the yanks may have finally spent all their pandemic savings; Europe is confronting the realities of industrial policy; and if you think housing is bad in Australia, at least it's not this bad.
10 min read
May
08
Albo's HECS changes: fairer and cheaper, or regressive and expensive?

Albo's HECS changes: fairer and cheaper, or regressive and expensive?

Rather than fairer and cheaper, Albo's HECS changes will make the scheme more regressive and expensive, benefiting middle-to-upper income households, distorting work-study incentives, and failing to address real barriers faced by disadvantaged groups.
9 min read
May
06
What's up with Japan?

What's up with Japan?

The yen's collapse has made Japan a tourist hotspot, but it has also sparked crisis fears. While a full-blown crisis is unlikely due to Japan's relatively low interest costs and its ability to raise taxes, an ever-aging population and repeated policy missteps are only increasing the risks.
9 min read
May
03
Friday Fodder (17/24)

Friday Fodder (17/24)

A Future Made in Australia picked its latest winner (or loser?); how tipping became the scourge of democracy; should we get rid of non-compete clauses; Steven Miles attempts to buy votes; and the China globalisation paradox.
8 min read
May
01
eSafety and the market for ideas

eSafety and the market for ideas

Australia's eSafety commissioner has been given the impossible task of censoring "harmful" online content - globally. Instead of a censorship tzar of debatable value, a better approach might be to focus resources on promoting critical thinking and demand-side interventions to reduce harmful content.
11 min read