Meeting our demographic challenge:
(1) building economic growth

Increasing economic growth

The challenges that Australia’s ageing population present for our future standard of living and the sustainability of spending on health and other social priorities require us to increase economic growth.

This is best done by maintaining responsible economic management and increasing participation in the workforce and productivity in the economy.

The sooner we take actions to increase our growth potential to address the demographic challenges of an ageing population, the more successful we will be. And the higher will be our standard of living.

More help for families

Budget will increase our growth potential by increasing labour force participation and productivity in the economy:

• More help for families increases work incentives and rewards for Australian families and improves the capacity of families to balance their work and family responsibilities
• further structural tax reforms improve work incentives and make the Australian tax system more internationally competitive
• improved incentives to save for retirement through superannuation will help to ensure a sustainable retirement income system
• increased investment in education and health will improve the capacity of people to participate
• measures such as research and innovation and improved transport infrastructure will enhance productivity.