The Sydney Morning Herald --- Page: 20 : 20 February 2007 Original article by Steve Burrell
ABIX Summary
Current economic indicators in Australia could not present a better picture for a prime minister in an election year. Unemployment is at a 30-year low of 4.5%, and in mid-February 2007, the Reserve Bank reduced its underlying inflation forecast to 2.75% from 3%. Analysts remained surprised that the low unemployment rate has not resulted in an increase in wage inflation. Private sector wages have risen by only 0.7% in the September 2006 quarter, the lowest in two years. In the three-month period only the mining, construction and utilities sectors received pay rises of 4.5% or higher.
