The government is spending an average of A$26 billion a month on programs that didn’t exist in February.
To put that in perspective, before COVID-19 the government’s total average monthly expenditure this financial year was going to be $42 billion.
While far from perfect, these emergency measures have been successful at supporting the incomes of many households and businesses.
But, as this chart shows, each and every one will be gone by the end of October, making October a very dangerous time for businesses and for the economy.
- ^ one of the biggest in the world (blog.grattan.edu.au)
- ^ address to parliament (ministers.treasury.gov.au)
- ^ doing less than they should (grattan.edu.au)
- ^ for some time (www.abc.net.au)
- ^ loan (www.ausbanking.org.au)
- ^ rent (www.business.gov.au)
- ^ temporary migration (www.sbs.com.au)
- ^ JobKeeper (theconversation.com)
- ^ That estimate of 6.6 million Australians on JobKeeper, it tells us how it can be improved (theconversation.com)
- ^ JobSekeer supplement (theconversation.com)
- ^ new level of income support (grattan.edu.au)
- ^ boosted spending (www.alphabeta.com)
- ^ social housing (blog.grattan.edu.au)
- ^ twice that many (www.afr.com)
- ^ Were it not for JobKeeper, unemployment would be 11.7%, up from 5.2% in one month. Here's how the numbers pan out (theconversation.com)
- ^ 1.025% (www.aofm.gov.au)
Authors: Danielle Wood, Program Director, Budget Policy and Institutional Reform, Grattan Institute