The RBA keeps slamming on the brakes, but the economy has already very much slowed down

‘Pleasingly, the economy is back at the size you would have expected it to be before the pandemic hit.’ Photograph: Diego Fedele/AAP

Just how strong is the economy? The easy answer is to look at GDP growth and suggest that while it can hide things and ignore others, it is generally a good guide. And as a rule, if GDP is growing strongly that is better than if it is not.

But what GDP growth figure should we look at? The annual growth of 5.9% is stonkingly good. It’s “a beautiful set of numbers” good.