When the job market is in a bad spot, it doesn’t take a rocket scientist to see the potential for the government to cut rates to boost demand.
This week, the Reserve Bank will release its annual report on the state of the economy and will likely take some heat from the Opposition.
While the unemployment rate is still well below its peak in early 2018, it is nowhere near what it would have been without the Federal Government’s budget.
The Reserve has been forced to cut its forecast for economic growth, which is now set at 1.7 per cent.
The RBA has been projecting a 3.2 per cent rate for the year, which it believes is below the 2.9 per cent growth expected for 2019.
This means the unemployment figures are now set to fall, but the economy will be better off.
And with the Government spending more on unemployment support, that is good news for the Government’s claim that it has a jobless rate of 2.5 per cent in 2019.
The Government has always said that it wants to see unemployment falling below 5 per cent, but has only done so by the third quarter of 2019.
But the latest figures suggest that is unlikely to happen.
The jobless figure has been falling since January, but that has happened on the back of strong demand, which has helped the economy to grow.
In the past year, the labour market has seen the biggest boost to job creation, as people started looking for work, even if they were not yet officially unemployed.
So why the fall in unemployment in the past few months?
The biggest culprit is the impact of the strong Australian dollar, which helped the Australian dollar and Australian manufacturing export markets.
But it is also the Government and the Opposition who are to blame for the weak figures.
Labor has blamed the Federal Budget for the low unemployment figures, and said that its only aim is to stimulate the economy.
It says the Government should cut rates for workers and encourage people to get on the job search.
The Coalition has said that the unemployment figure should be taken with a pinch of salt because it is an estimate.
In its report, the RBA also said that inflation is expected to rise to 2.6 per cent this year.
But economists say that this is still likely to be too high and that the Government will be able to maintain inflationary pressures by hiking interest rates and boosting the budget.
This will mean that unemployment will fall even further.
But this means the Government could end up cutting unemployment and the economy would be better served by a lower unemployment rate.
Why is the RBC so gloomy?
The RBC has been forecasting a low unemployment rate for about two years now, but it has only been the second time that it is forecast to be less than 1.5% in 2019, according to a recent analysis.
The latest forecast is a bit more optimistic, at about 1.6%.
However, this is likely to mean that the RAB’s forecasts for 2019 are more accurate than the forecasts it made a few years ago, because it now thinks that the economy should grow at a rate of 1.2% this year and 1.8% next year.
This would mean that if the economy grows at the 3.0 per cent predicted by the RBE this year, and if it grows at a 4.0% rate in 2019 it would be expected to grow at about 3.8 per cent next year and 3.9% the year after that.
The government’s budget has been in the headlines this week, with the Treasurer claiming that the budget would be the best in history.
But there has been a lot of bad news over the past two years, including a drop in the national unemployment rate to 4.5%, the biggest drop in seven years, and the Reserve’s prediction that the Federal Reserve will start raising interest rates in March 2019.
What are the risks?
The economic outlook is so bleak for 2019 that the Reserve warns that there could be more negative shocks ahead.
The Bank of Australia is forecasting the economy’s economic performance to shrink by 2.8 percentage points in 2019 and by 1.9 percentage points for 2020.
This is the worst year to expect negative growth in a decade, according the RBNAs forecast.
If the economy continues to deteriorate, it could lead to a double dip recession, with unemployment rising above 5 per% by 2021 and then falling to 5.4 per cent by 2023.
This could be bad news for businesses and investors, and could be the trigger for a major financial crisis.
The biggest risk of 2019 is that it will be a tough year for the Australian economy.
The economy is expected by the Bureau of Statistics to grow by 1 per cent for 2019 and 2 per cent over the next two years.
That means it will add 1.4 million jobs and the number of people employed in the economy by 2020 will be 6.1 million.
This number is expected even though