I found this interesting study from Deutsche Bank that shows that the bulk of the inflation in Australia came by public sector influenced industry –
An average surge of 27% over 5 years from childcare costs, utilities, health and education.
The private sector contributed a mere 5%.
The issue of this inflation is that the government induced inflation cannot be escaped and makes you feel poor .
The Government inflation basket is a sum of parts (Australian inflation + international imported good – deflationary in this period) – so they can still say truthfully that on average there is low inflation.
Unfortunately you are not buying a TV set a month, but you are paying your bills monthly.
investorpolitico 