Unemployment in an Age of Prosperity

Abstract

The 1990s in Australia was characterised by relatively strong and persistent economic growth. For example, over the 8-year period 1992/93 to 1999/2000 GDP growth averaged 4.2 per cent per annum, well in excess of that experienced in most other Western nations. More importantly, growth in GDP per capita over this same period averaged 3 per cent per annum, not far behind the levels recorded during the 1960s (3.3 per cent over the decade), a period generally described as one when full employment prevailed. Moreover, despite a slowdown in 2000/01, economic growth accelerated again in 2001/02, growing by almost 4 per cent in the 12 months ended June 2002.As would be expected, these relatively hig..