Economic Reality Favours Online Transitions Sooner Rather Than Later
A scorecard of Australia’s economic indicators reveals there are some parts of the economy are performing quite well but it's people-facing businesses that will continue to struggle as a second wave of COVID-19 marches north into New South Wales.
On the last measure, economists are starting to get a clear understanding of the labour market as the extension of the Jobkeeper and Jobseeker arrangements appears fait accompli.
The national unemployment rate at 7.4% reveals large tracts of the workforce are coming back to the labour market via part-time roles with service industries the most notable stand outs.
Whilst the challenge around activating the local economy is considerable, it is instructive to note the performance within the retail sector in Queensland especially provides some cause for optimism.
A cursory glance at the latest retail data reveals hardware sales have increased by more than a third since March and the use of online deliveries has also seen supermarket purchases lift by 5% in Queensland.
Services industries tied into the digital economy are the net beneficiaries of a seismic change in the national and state economy.A pandemic has brought forward considerable change in consumer behaviour.
Source: ABS, BrisWest Chamber of Commerce, July 2020