Newspaper icon
The latest issue of Financial Standard now available as an e-newspaper
READ NOW

Search Results

Showing 41 - 50 of 75 results for "real wages"

Go ahead BOE, make my day

BENJAMIN ONG  |  WEDNESDAY, 18 OCT 2017
... constraining domestic spending which is a bigger contributor to the economy. This is because high inflation erodes real wages. Real wage growth had been negative since February this year as inflation accelerated faster than growth in nominal wages. Nominal ...

Confidence up but will consumers shop?

BENJAMIN ONG  |  THURSDAY, 12 OCT 2017
... despite the cheerier mood, Australians remain saddled with record high household debt, sluggish wages growth (zero real wages growth), rising utility costs, decreasing disposable income and dwindling savings. The Australian consumer has no choice but ...

Time to start factoring in an RBA rate cut?

BENJAMIN ONG  |  FRIDAY, 6 OCT 2017
... relatively stronger Australian dollar during the period. Faced with record high household debt, sluggish wages growth (zero real wages growth), rising utility costs, decreasing disposable income and dwindling savings, the Australian consumer has no choice ...

Interest rates on ice

BENJAMIN ONG  |  WEDNESDAY, 4 OCT 2017
... quarter. Factor in headline CPI inflation of 1.9% over the same period and we get... nada, zilch, bupkis growth in real wages. Yes Virgina, we're working just to standstill. Yet, we're borrowing up to our eyeballs. Our household debt as a percentage ...

The British pound's sterling reversal

BENJAMIN ONG  |  MONDAY, 18 SEP 2017
... prove Vlieghe's expectations for an "easing back of inflation" correct. This, in turn, would underpin a turnaround in real wages from negative to positive and encourage spending. But it's not as simple as that because households will be hit by higher ...

Wage freeze

BENJAMIN ONG  |  THURSDAY, 17 AUG 2017
... that slow growth in nominal wages is being outpaced by increases in consumer prices. For the June quarter growth in real wages (nominal wages adjusted for headline inflation) is zero in the June quarter. The RBA's 'Statement on Monetary Policy August ...

Wages separate businesses from consumers

BENJAMIN ONG  |  THURSDAY, 10 AUG 2017
... low 1.9% in the March quarter. But this isn't the problem for wages are still growing. The problem is real, growth in real wages (nominal wages adjusted for inflation) that is - it's now negative. In simple terms, wages are growing by less than the increase ...

Powered by low-flation

BENJAMIN ONG  |  MONDAY, 31 JUL 2017
... high of 2.8% but headline inflation has slowed faster from 2.8% to 1.7% over the same period. This lifted growth in real wages from 0.04% to 0.81%. Not only this, the BEA notes that: "Real disposable personal income-personal income adjusted for taxes ...

Good jobs, sluggish pay

BENJAMIN ONG  |  FRIDAY, 21 JUL 2017
... quarters. Not a good prognosis in terms of household income that would boost consumer spending. More so, given that real wages (nominal wages less inflation) has turned slightly negative in the March quarter of this year. The correlation between the ...

Data dictates immediate BOE action

BENJAMIN ONG  |  WEDNESDAY, 5 JUL 2017
... the March quarter GDP growth slowdown as temporary: "Consumption growth remains subdued, reflecting slow growth in real wages and high levels of household debt." So much so that it removed it's phrase "economic growth is still expected to increase gradually ...