Productivity in Australia is growing at its slowest pace in 60 years, undermining the ability to lift living standards, with decarbonisation and Covid challenges threatening to drag the rate down further, the Productivity Commission has said.
In the first instalment of the commission’s latest five-yearly review, the government agency said the average Australian generated seven times more output than in 1900, improving wealth even as hours worked have consistently fallen. Still, future gains may be harder to get as environmental and other “headwinds” intensify.
