Why Australia's productivity stinks (Leithvo)

An extract from my recent interview with Martin North at Digital Finance Analytics.



Apparently there's too many people working using the same amount of capital and equipment, and so things have become inefficient. However, when you close down major industrial production and turn towards (low paying) labour-intensive service industries this also lowers productivity. Certainly the huge public service sector adds to all the productivity problems. 

The big issue should be the standard of living. It's one thing to be relatively unproductive, but another thing to live in a broken country where the cost of living is sky high (including energy and housing), where ordinary people struggle to simply live.

[Posted at the SpookyWeather2 blog, July 5, 2025.]