The shape of Australia's post COVID-19 workforce

Impeded Recovery scenario

The Impeded Recovery scenario assumes the virus is largely suppressed domestically by 2021. However, household consumption and investment do not begin to rebound until mid-2021.

Shocks

Productivity

Negative (relative to Economic Restoration)

Domestic demand

Negative (relative to Economic Restoration)

International demand

Negative (relative to Economic Restoration)

Government spending

Neutral (relative to Economic Restoration)

Population

Negative (relative to Economic Restoration)

Other shocks

Domestic tourism (relative to Economic Restoration) International tourism (relative to Economic Restoration) On-shored industries (relative to Economic Restoration)

Results

There is a greater shock to household demand and business investment, which triggers further macroeconomic effects including higher unemployment and lower GDP per capita.