Bad news on Australia’s economy at last — thank goodness!

As Alan Austin reports, the mainstream media has warmly welcomed Australia’s latest economic data.

WAGES IN AUSTRALIA increased by 3.44% throughout 2025. Unfortunately for workers, this rate was below the 3.76% inflation rate and therefore they ended the year poorer on average. Accordingly fees and consumer price index Data taken from the Bureau of Statistics (ABSs).

While disappointing for the employees affected, this is great news for anti-Labor hacks in mainstream newsrooms. This means that they can prepare negative narratives for once in their miserable lives. Albanian Government without farting and making up lies. Finally!

Field day for orphaned fear mongers

Although the difference between wage growth and price increases is a tiny fraction of a point (technically referred to as a tenth factor), wages have actually lagged behind. Headlines gleefully reinforcing this included:

‘Real wages declined for the first time in two years as inflation jumped’ [Australian Financial Review]
‘The data reveals the ‘real wage’ position of workers as the wage price index lags behind inflation.’ [ABC News]
‘As real wage growth falls again, Australian workers must feel the economy is rigged against them’ [The Guardian]
‘Under pressure, Chalmers suddenly faces difficulties’ [Australian Financial Review]
‘Real wages have gone backwards. Even making $100,000 isn’t what it used to be.’ [The Conversation]
‘Inflation news is depressing as real wages fall’ [Yahoo NewsWire]
‘Labour must fix our tax system. ‘Anything less is economic ruin’ [The Sydney Morning Herald]

The full picture of wage increases

Of course, none of these “stories” accurately reflected the situation. The last thing newsrooms want is for readers to be well informed.

In fact, in the last three years since Treasurer Jim Chalmers In the USA, which held its first budget in the fourth quarter of 2022, wages increased by 11.33%. Total inflation in these 12 quarters was only 8.50%. Despite the decline in the last quarter, workers are still significantly ahead under Labor. This was skipped.

Yes, a period of price increases above wage increases is disappointing. But it’s not destructive. This is no surprise, given that free enterprise economies allow businesses to make individual decisions about hiring, firing, and compensation, as well as the timing and extent of price increases.

Even though there was truly bad news to publish, some of these media outlets still continued to spin lies. Australian Financial Review Spruiked new shadow treasurer TimWilson like ‘We are ready to pour water on the fire of inflation in Australia’.

Bonfire? Really? Apparently, they want readers to forget that baby boomers lived for decades. inflation over 8%. for two years Bob MenziesInflation ranged from 10 percent to 24 percent. It has been above 20% for four quarters. For all seven years Malcolm FraserInflation fluctuated between 7.6% and 14.3%. It was above 10% for 16 quarters.

Inflation as soon as 2021-22 rose It rose to 8.44%. If voters had not replaced the federal government in 2022, that rate could still be above 8%. We will never know.

Bonfire? Inflation today, at 3.76 per cent, is miniscule compared to levels under previous Coalition administrations.

All Australians are richer

When we look at the economy overall and compare the results with similar countries, Australians appear to be doing well at the moment.

As a result of the appreciation of the Australian dollar, anyone holding cash, savings or investments worth Australian dollars is around 10% richer than before Christmas.

Australian dollar since November 21 jumped 10% against US dollar, Japanese yen and the Hong Kong dollar is on a strong rise against nearly all other commercial currencies.

This is partly due to the steady budget recovery, as confirmed last week in the International Monetary Fund’s 2026 report. consultation reportThis earned Albo and Dr Jim great acclaim.

This can also be attributed to Australia’s strengthened standing in the world following successful trade negotiations with Australia. European Union, Indonesia, Singapore, UAE, New Zealand And elsewhereand the extremely benign consequences of deals on tariffs and defense with the corrupt and incompetent Trump regime.

Housing is finally rising

Housing construction is currently underway in Australia across all categories: investors building rental properties, property owners, new home buyers and social housing for welfare recipients.
According to this month’s report bank loan The total of loans from ABS for all new homes will reach a record $383.5 billion in 2025. See the table below.

Number of new owner-user loans rose It rose 4.8% in the December quarter, with value rising 10.6% to $65,315 million. The number of first home buyer loans increased by 6.8% in the quarter, while value increased by 15.5%. The value of all new residential loan commitments increased 9.5% to $108,300 million, an all-time high.

All other key indicators are positive

australian jobs augmented It rose by nearly 18,000 to more than 14.7 million in January, reducing the unemployment rate to 4.08 percent. Meanwhile, this continues for four months, with the unemployment rate declining marginally.

ABS also reported excellent results on the farm producingtourist arrivalsimport and export pricesconstrictive gender wage difference And spending Regarding luxuries, as analyzed here last week.

What can be done to make things better?

As for the problem of wages lagging slightly behind prices, this can be solved by increasing the minimum wage and bonus wages in future salary payments. negotiations.

Price increases can be mitigated by continuing efforts to monitor price gouging and punish violating companies. Australian Competition and Consumer Commission (ACCC) Now prosecution Coles and Woolworths were prosecuted in the Federal Court for alleged wrongful price reductions.

These developments are extremely encouraging for those who want to celebrate a healthier, wealthier, fairer and happier society. Unfortunately, this is not everyone.

Alan Austin is an Independent Australian columnist and freelance journalist. You can follow him on Twitter @alanaustin001 and Bluesky @alanaustin.bsky.social.

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