Oz slides into recession

We've already had a per capita recession in Australia.  Because immigration into Oz is so high, GDP continues to rise.  But GDP per capita has been falling for three quarters now.  CBA's August PMI economic survey showed a big fall.  Because the PMI for services fell sharply, the whole economy PMI has gone below the 50% "recession line".

The PMI is the first data available for the month.  And because the Ozzie government continues to cut the budget of the ABS (Australian Bureau of Statistics) in real terms, the availability (and quality)  of monthly data, other than from private surveys, continues to diminish.  Sad.

The weakness of this indicator is entirely consistent with a recession in GDP, i.e., not just falling per capita GDP but falling total GDP.  Year-on-year, GDP growth in Q1 was 1.8%, the lowest since Q3 2010.  The RBA (Reserve Bank of Australia) has cut its discount rate, but the Commonwealth Government is determined to deliver a fiscal surplus which means fiscal stimulus is off the table.