Reserve Bank of Australia assistant governor Luci Ellis spoke at 0700 GMT Thursday

It wasn't covered here, so just doing a catch up now.

Full text is here: Where is the Growth Going to Come From?

The Australian Financial Review report:

  • Ellis downplayed constant fretting over where the nation's "next growth engine" will come from
  • "The 'engine of growth' mindset presumes that we need some sort of external trigger to grow, which for some reason cannot come from within."

Said that fear built on the argument that many of the new jobs that have been created over recent years have tended to be low-skill and low-wage - such as in tourism - and therefore not worthy, she suggested:

  • "Only 'good growth,' we are told, is truly sustainable"
  • And 'good growth', I can't help noticing, always seems to be defined as 'goods growth'. Services don't count.
  • There's a hint of the eighteenth century physiocrats in this mindset, but with manufacturing and business investment taking the place of agriculture in the firmament of virtuous activities."

The full AFR piece is here, it may be gated but it's a great summary if you can access it


I've said it before, and will likely again - Ellis is well worth listening to. She is best of the best at the RBA IMO.


Oh, and ps ...

Reuters have a recap here if you cannot access the Australian Financial Review: Australia has more 'growth engines' than it realises-RBA