When the March-quarter National Accounts data came out it showed very strong growth which seemed to run counter to the other indicators that were available at the relevant time. My blog – Australian national accounts – strong growth creates a puzzle – focused on the conflict between the poor employment growth and the strong GDP growth. Today – the Australian Bureau of Statistics released the – Australian National Accounts – for the June 2012 quarter and the results make much more sense. The Australian economy slowed in the June quarter and the growth performance was more consistent with the other indicators that we have at our disposable. The latest data available suggests that the slowdown in June has accelerated into the third-quarter but we will have to wait until December to verify that claim. Today’s data release also continues to demonstrate the growth impact of on-going budget deficits even if the Federal Government is doing what it can to undermine that contribution. Without the public sector contribution to real GDP growth, the overall outlook would look very weak.