Contemporary Factors - Other

Question 1

Labour Force Participation Rate - graph

Answer 1

LFPR - has been rising with a record high of 67.3% set in January 2025, this pulled back to 66.8% in February 2025

Question 2

Labour Force Underutilisation Rate

Answer 2

Has been relatively stable around 10%

Question 3

Household Savings Ratio

Answer 3

Household savings ratio is low, however has risen slightly since the beginning of 2024.

Question 4

Terms of Trade

Answer 4

Terms of Trade has been falling

Question 5

Commodity Prices

Answer 5

In general, commodity prices have been declining.

Question 6

Current Account Balance (currently a surplus)

Answer 6

Key statistics
* The current account balance, seasonally adjusted, rose $1,338m to a deficit of $12,547m.
* The capital and financial account surplus was $14,185m, a decrease of $2,337m on the September quarter 2024 surplus.
* The net international investment liability position was $653,166m at 31 December 2024.

The current account was in surplus for approximately 5 years before returning to deficit in 2023