Treasurer Josh Frydenberg (Image: AAP/Lukas Coch)

There are worrying signs that an ideologically blinkered government isn't going to pursue the kind of demand-focused policies that are needed to get Australia out of what could be an extended recession.

While yesterday's 7% contraction for the June quarter was a little worse than forecasters expected, it lacked the kind of psychological impact negative quarters usually have. We're all painfully aware of what's been going on since March, and we also know the Morrison government has worked hard, and successfully, to offset the worst impacts of lockdown.

But a negative September quarter, signalling the longest recession since the Fraser-Howard double dip/four quarter epic of 1982-83, would be something else.