NAB economists Alan Oster and Gareth Spence suggested that unemployment will not be as severe as first predicted. They have lowered their previous prediction down to a maximum of 8.5% unemployment. While this is higher that pre COVID levels, this is still very manageable and means that 91.5% of people are employed.
Although the economists predicted that GDP will drop in the second quarter, it is now expected that Australia will fair much better than previously thought and will recover much faster as well.
