Jim Chalmers

I've said that there's an inflation challenge already and the war would make it worse, even though inflation went down a little bit, ticked down a tiny bit in the numbers that we got earlier this week.

But let's not forget a couple of other things.

Your point about stagflation, I see it written from time to time.

I mean, Alan, we've got unemployment at 4.3%.

You know, in the course of the last few years of this government, we've had the lowest average unemployment of any government in 50 years.

That's not consistent with...

that description.

And when it comes to growth, we finished the year with faster economic growth than any major advanced economy.

And so you've got to look right across the economy.

I do understand confidence has taken a hit.

I don't dispute that.

I do understand that inflation was too high already and it will now be higher for longer because of the war.

But don't forget, we go into this with some very, very substantial advantages.

Labor force participation has been excellent.

Unemployment has been really low.

Growth got up to 2.6%, which in the context of the last few years is a pretty handy foundation.

And so we are well placed.

We are well prepared.

But we will be buffeted by what's happening around the world.

But we go into it.