A chief economist is optimistic the economic slowdown is ‘not as bad’, despite many warning the economy needs a greater stimulus.

Market analysts believe the Reserve Bank of Australia will cut interest rates once more this year amid a slowdown in job growth.

Deloitte Access Economics Chief Economist Chris Richardson tells John Stanley that drought and house prices do have an impact on the economy but ‘not a terribly big one’.

“The Australian economy is slower… but it’s not as bad as people think it is.

“Amid a global slowdown the world is actually giving Australia a substantial pay rise on our iron ore and coal.”

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