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article from Centre for Policy Development

The Platypus Economy? Unravelling Australia's Economic Paradoxes

How can we reconcile deflationary government policy with a booming economy, and stellar export prices with a record current account deficit? Is there something truly new about the economy, or are we being deceived? The answer, unfortunately, is deception: the hidden trick that glues the economy together is debt. Behind the appearance of fiscal austerity on the one hand, and a miracle economy on the other, has been a dangerous addiction to credit. Australians have borrowed their way to an apparent but illusory prosperity


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