Globally, these necessary measures have seen economic activity and employment fall sharply. The same is true in Victoria.
The impact of the pandemic on our economic activity has been significant, with Victoria’s state final demand falling by 8.5% in the June quarter.
Employment declined by 180,000 (5.2%) from the March to September quarters 2020, and the unemployment rate rose by 1.6 percentage points to 6.9%. However, this trend doesn’t fully capture the level of underemployment − those people who weren’t able to get as many hours of work as they wanted.
With gross state product forecast to decline by 4% in 2020-21, the economic impact of the pandemic is estimated to be the largest in over 90 years – since the Great Depression in 1929.
The weight of that impact has been experienced differently by different communities and industries.
What is clearly evident is that controlling the virus minimises the economic impact and allows for sustainable recovery.
Reviewed 14 April 2021