Economic uncertainty 'down to success'

Friday, 29 Jun 2012

High levels of economic growth in Australia may be having a negative impact on people's levels of optimism, an expert has identified.

Jennifer Westacott, chief executive of the Business Council of Australia (BCA), explained that despite two decades of remarkable strength, people are still worried about the future.

"Not enough of the benefits of this investment pipeline have been passed on to the communities affected through improvements in infrastructure and services," she explained.

Ms Westacott emphasised that the country cannot have high wages, low productivity and still retain its strength - which is something many people are starting to recognise.

The BCA has therefore recommended an investment pipeline of around $1 trillion in the resources and energy sectors, as well as economic and social infrastructure.

This could provide a boost to financial markets, as well as benefit the economy as a whole.

Member for Moncrieff Steven Ciobo recently told ABC Brisbane that Australians are greatly affected by what they see in the media, which is having an impact on their confidence levels.

He also believes that political uncertainty is taking its toll, not least because the future of Julia Gillard is under threat.