Invest
Left out: How well has 26 years of growth trickled down?
More than 40 per cent of Aussies believe they haven’t benefited from the last 26 years of economic growth, but most agree large corporations have gained a lot.
Left out: How well has 26 years of growth trickled down?
More than 40 per cent of Aussies believe they haven’t benefited from the last 26 years of economic growth, but most agree large corporations have gained a lot.
According to the Committee for Economic Development of Australia’s (CEDA) latest report, only 5 per cent of Australians consider themselves to have personally gained a lot from the last 26 years of economic growth.
At the same time, 44 per cent think they’ve gained nothing from the last 26 years’ growth, with those aged over 50 most likely to feel they haven’t gained anything.
“A decade of stagnant incomes and cost of living pressures in areas like health and electricity are contributing to this feeling but waning trust in business and politics are also likely factors,” CEDA chief executive Melinda Cilento said.
“Economic development and reform are important for improving Australians’ quality of life, but if the community feel removed from the benefits or have lost trust that the benefits from growth will be broadly shared, then gaining traction on economic reform becomes more difficult.”
She said Australia will need to better attach aspirations and expectations with business activities in order to improve future economic opportunities. Additionally, economic reforms and improved delivery of government services will help meet community expectations.
“The expectation that government should provide the services fundamental to the quality of life in Australia remains strong,” Ms Cilento said.
“Over recent decades there has been a narrative that growth equals prosperity but the results suggest that many Australians do not feel like they are getting ahead.”
Poll respondents listed cutting the company tax rate and red tape as the least important national issues, along with a strong private school system, increased humanitarian intake of refugees and less restrictions on the use of natural resources.
However, speaking at the CEDA State of the Nation Conference on Sunday, Treasurer Scott Morrison said Australia’s current company tax rate is stifling growth and a reduction would benefit 90 per cent of private sector workers.
He said high taxes on both companies and individuals are the greatest impediments to growth.
“Our tax system must reward effort. It must support working Australians who are trying to get ahead. It must not penalise those who do better, get a pay rise or work more hours, by asking them to pay ever-increasing rates of tax,” Mr Morrison said.
“Our tax system must encourage our businesses to grow, invest, hire more Australians and pay them more. It must support them to compete on fairer terms with their global competitors. It must not leave them uncompetitive in a global marketplace that embraced lower company tax rates long ago.”
According to the CEDA report, How Unequal? Insights on inequality, 79 per cent of Australians consider the gap between the richest and poorest a 'not very acceptable' or 'not acceptable at all' consequence of economic growth.
“These results underline the challenge of addressing expectations of a fairer distribution of the proceeds of economic growth without creating disincentives for economic participation and entrepreneurial activity,” CEDA said.
Spending
Aussies splash record cash for Black Friday and Cyber Monday
More than $8 billion was spent between the two shopping holidays, according to NAB estimates. ...Read more
Spending
Festive shopping expected to be bigger and earlier than ever
Australians are set to spend $60 billion at retailers across the country. ...Read more
Spending
Aussies’ spending on subscription rises, but will it stick?
Aussies carved out a greater slice of their spending budgets when it came to streaming services during the pandemic. ...Read more
Spending
Qantas announces $2.3bn loss but plans to be flying again by Christmas
Australia’s national carrier has revealed the devastating impacts border closures have had on the company, while noting a possible return date to international operations in its full-year market upd...Read more
Spending
Will your frequent flyer status be impacted by COVID?
In the latest bid to kick-start the travel industry post-lockdowns, Australia’s largest airline has announced that it is rewarding its frequent flyers by extending their status. ...Read more
Spending
‘Technology, not taxes’: Why not both?
The government has joined the rest of the world in looking to offset carbon emissions, albeit through technology, not taxes, despite the possibility that positive taxes and incentives could potentiall...Read more
Spending
Social media spending balloons to $118bn
Australians are spending a whopping $118 billion on discretionary items through social media and apps, fresh figures have revealed. ...Read more
Spending
Why payphones are set to become free
Australians will now be able to make free calls from any Telstra payphone under a new initiative aimed at helping those who are in need, Telstra’s CEO has revealed. ...Read more
What Omicron means for property, and are units right for first-time buyers? What is equity crowdfunding? Are industry super funds tapping into member funds to save their skins?
Listen now
Will housing affordability improve in 2022? Will buy now, pay later become the norm? Why are Aussies staying in failing super products?
Listen now
Who really benefits from crypto ETFs? How will the RBA respond to rising inflation? Could a mandate help address unpaid super?
Listen now
How the post-lockdown period will influence property, what the soaring NFT market means, and defining financial wellness
Listen now
Spending
Aussies splash record cash for Black Friday and Cyber Monday
More than $8 billion was spent between the two shopping holidays, according to NAB estimates. ...Read more
Spending
Festive shopping expected to be bigger and earlier than ever
Australians are set to spend $60 billion at retailers across the country. ...Read more
Spending
Aussies’ spending on subscription rises, but will it stick?
Aussies carved out a greater slice of their spending budgets when it came to streaming services during the pandemic. ...Read more
Spending
Qantas announces $2.3bn loss but plans to be flying again by Christmas
Australia’s national carrier has revealed the devastating impacts border closures have had on the company, while noting a possible return date to international operations in its full-year market upd...Read more
Spending
Will your frequent flyer status be impacted by COVID?
In the latest bid to kick-start the travel industry post-lockdowns, Australia’s largest airline has announced that it is rewarding its frequent flyers by extending their status. ...Read more
Spending
‘Technology, not taxes’: Why not both?
The government has joined the rest of the world in looking to offset carbon emissions, albeit through technology, not taxes, despite the possibility that positive taxes and incentives could potentiall...Read more
Spending
Social media spending balloons to $118bn
Australians are spending a whopping $118 billion on discretionary items through social media and apps, fresh figures have revealed. ...Read more
Spending
Why payphones are set to become free
Australians will now be able to make free calls from any Telstra payphone under a new initiative aimed at helping those who are in need, Telstra’s CEO has revealed. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
