Frydenberg FOFA banking royal commission
Treasurer Josh Frydenberg (Image: AAP/Lukas Coch)

Tucked in the middle of yesterday's Mid Year Economic and Fiscal Outlook is an explanation for the current state of the economy and why it is expected to behave in the way Treasury believes it will over the next couple of years.

Much of the MYEFO coverage has -- rightly -- focused on the $10 billion war chest of tax cuts the government has armed itself with. That represents Scott Morrison's last roll of the dice -- offering a big tax cut to voters ahead of an election, albeit not as big as the one Labor is offering. But for a glimpse of the real economy and the federal government's role in it, turn to page 77, which describes government spending by function.