Australian economy runs at fastest pace in nearly two years
http://www.theaustralian.com.au/business/markets/australian-economy-runs-at-fastest-pace-in-nearly-two-years/story-e6frg926-1225836541522
Is the Australian economy really booming?
Both of these articles talk about the recent state of the Australian economy, and more specifically, how it has responded to the 2008 financial crisis. The author of the first piece, as well as many economists, believe that Australia is booming, while other nations continue to struggle. He points to the quarterly GDP growth, rising interest rates and declining unemployment, all approaching levels prior to the crash. To the astonishment of most economists, Australia's economy has continued to thrive, even though Europe and America are down. The second article looks at the same data, but has a far less optimistic outlook. For starters, the author thinks that the huge disparity between imports and exports does not bode well for the Australian economy, and is a more significant problem then people believe it to be. He also looks to blame ill-advised government spending and how it measures up to their Asian neighbors. While the mining business has been very good to Australia, the author believes that mining companies insistence on keeping prices high could come back to bite them too. It will be interesting to see how this plays out while we are abroad there, especially if the Australian dollar keeps surging.
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