Logo

Make a tax-deductible donation to support CEDA's agenda and help accelerate change

Find out more

Join CEDA Support us
Economy

Information paper - Macroeconomic policy: avoiding the cliff

In the first paper in the CEDA Council on Economic Policy Economic Recovery Series, Professor Percy Allan and The Hon. Dr Craig Emerson consider the need for new macroeconomic policy to avoid the 'cliff' marked by the end of the Federal Government's initial support measures in September

"There is a serious risk that the Australian economy will relapse into deep recession once most of the existing fiscal relief measures expire at the end of September 2020. To avoid that fate, the Federal Government should adopt another large round of fiscal stimulus."

- Professor Percy Allan &  The Hon. Dr Craig Emerson

Downloadable resources
INFORMATION PAPER - MACROECONOMIC POLICY: AVOIDING THE CLIFF  (PDF 1846KB)

For policy makers the burning issue is how to prevent the Australian economy suffering a double-dip collapse after existing income and other Federal Government support measures designed to offset the effects of the COVID-19 pandemic expire in late September 2020.

The Federal Treasurer, Josh Frydenberg, will provide an updated economic and fiscal outlook on 23 July, which is expected to outline some features of the government’s fiscal strategy ahead of its full budget on 6 October 2020. 


This paper canvasses the broad fiscal and monetary policy options to avoid an economic cliff at the end of September 2020 and to revive the economy thereafter to limit any ongoing trauma from COVID-19.
  

Our Related Research

Economy November 29, 2012

2012 Big Issues survey results

The results of CEDA and Business Spectator's 2012 Big Issues survey have revealed that ensuring Australia is positioned to take advantage from the rise of Asia and the need for continued productivity improvement are the big issues confronting business, with significant implications for the Government's agenda.

Read more Economy May 30, 2012

Australia 2022 - discussion paper

Discussion paper prepared for CEDA by Dr John Edwards, Reserve Bank Board member and Lowy Institute Visiting Fellow. In this paper, Dr Edwards suggest some of the major questions we need to think about in sustaining Australia's prosperity. This paper was released in June 2012.

Read more Economy November 21, 2010

2010 Big Issues results

A CEDA-Business Spectator Big Issues survey revealed widespread support for an end to stimulus spending, and for tighter budget discipline on the part of the Federal Government.

Read more

Like our research?


Make a donation today to directly support CEDA’s independent research, tackling the big issues for Australia. Click here.
(Donations over $2 are tax deductible)