OECD urges strong medicine for Australian economy

Recommendations in a newly released report from the Organisation for Economic Co-operation and Development (OECD) for the Australian Government to spend more on preventative health programs have been welcomed by AUSactive Chief Executive Barrie Elvish.

In its first survey of the Australian economy since 2021, the Paris-based economic think tank has recommended action such as taxing the superannuation income of retirees, the deregulation of state zoning laws and for the Federal Government to do more to reach its greenhouse gas emission targets, arguing for more spending to support new technologies.

With Australia’s ageing population, it notes “as the population ages and the economy is shaped by global forces including the climate transition and digitisation, policies must continue to promote an adaptable labour force and business sector.”

The OECD report said the Federal Government faced major pressures in health and disability, urging it to consider ways to slow spending growth on the National Disability Insurance Scheme, and channel more people into preventative health programs rather than relying on the more expensive hospital system to deal with health issues.

It made a series of recommendations to raise extra revenue, boost economic growth, reduce pressure in the housing market and deal with climate change.

It also advises that the Federal Government should “channel more people into preventative health programs rather than relying on the more expensive hospital system to deal with health issues.”

Welcoming this as supporting AUSactive’s advocacy, Elvish took to social media to advise “the current (health) system is unsustainable and the sooner this is acknowledged and addressed the better off both our health and economy will be.”