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2010-06-28

It is per capita growth not headline GDP that matters

Comments on Michael Stutchbury “Playing politics on population”, 28/06/2010, http://www.theaustralian.com.au/politics/opinion/playing-politics-on-population/story-e6frgd0x-1225884963233
Australia could accommodate a big population, there is no question about it.

However, it is not necessarily the best option for Australians to have a big one.

It is important to note that it is productivity and per capita growth that is much more important than the simple headline of GDP growth which includes the effects of population growth.

Australia should focus on productivity growth as the core strategy and optimise population through immigration programs.

The welfare of all Australians are the more important and top priority. Sustainability is and should always be secondary. Purely business considerations for more labour to benefit business profitability should be the last consideration of all.

Economics should make it clear and should not play too much of political economics for business only.

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