For each ‘cost’ category the average 2013-2017 price increase is calculated using (September-September) price increase figures for each of those years for that expenditure category. That average price increase is then applied to the provided amount (annualised) for 3 years – a full federal electoral term. The final figure represents the expected increase in the price of that category after 3 years of 2013-2017 average price growth.
For the wages category, the final amount is calculated by applying the 2013-2017 average wage increase figure, calculated in the same manner as price increase averages, to the provided wage amount (annualised) and then comparing that figure to the result of the same calculation using the long-run median wage growth figure from 1998-2017.
Price increases are taken from: Australian Bureau of Statistics, Consumer Price Index, Cat. 6401.1, September 2017.
Wage increase figures taken from: Australian Bureau of Statistics, Wage Price Index, Cat. 6345.0, September 2017.