PM Transcripts

FOR PRESS 21 OCTOBER 1976
SEPTEMBER QUARTER CONSUMER PRIC) INDEX
The Consumer Price Index released today shows that
Australia's rate of inflation has moderated further in
the September quarter.
This is a pleasing result. It indicates that the
Government's economic strategy is beginning to show clear
results. The increase in the September quarter was 2.2 percent
compared with the 2.5 percent in the June quarter and
percent in the March quarter.
Leaving aside the effects of Medibank on the index for
the September quarter 1975 ( without which the increase of
0.8 percent would have been 2.9 percent), the September
quarter this year recorded the lowest increase since the
March quarter of 1973.
It is a particularly encouraging sign that the rise in
non-food prices should have moderated sharply from
3.3 percent in the June quarter to 1.9 percent in the
September quarter. This was clear evidence of the benefits
of the moderation in wage increases to which the
Government's policies have been directed.
The foundations for a sound, sustainable recovery in economic
conditions and employment are now clearly emerging.
Although the task ahead remains great, the CPI result
indicates a welcome move in the right direction.
000000000