Hello everyone. I’m @olivertomolife and I’ve studied abroad in Sydney!
Australia is one of the top 10 countries in the world in terms of land area and has a strong economy.
It also has a high population growth rate as it accepts immigrants from all over the world.
By reading this article, you will learn about the highlights of the Australian economy!
This is because there are three strengths of the Australian economy.
If you want to know more about Australia, this is a must read!
I studied in Sydney for a year starting in 2018. I am currently writing a blog based on that experience.
So let’s take a look at the Australian economy.
The Australian economy and three points of interest
Australia is known as a country with vast land and resources.
Although the country is more expensive than neighboring Asian countries, its economy is prosperous.
I have summarized three points of particular interest in Australia’s economy.
1 Population growth due to immigration
Immigrants have been coming to Australia since the 1850s, when mining was flourishing.
People came from all over the world, from Europe (Ireland, Germany, etc.) to China, etc., and this led to the formation of a wide variety of cultures within Australia.
Even though the iron mining industry has lost its momentum, the government continues to accept immigrants on a regular basis, so the natural growth of the population is high.
This has the advantage of improving the consumption cycle within Australia.
As people spend more money, domestic demand is better, and prices and wages are rising.
In fact, the minimum wage in Australia is as high as 12 Australian dollars per hour.
2 Service-oriented economy
Australia’s main industry is the tertiary sector, the service sector.
Within the service sector, there are many consumption-oriented businesses, from finance to retail, and a high percentage of industries related to domestic demand.
In addition, Australia’s policy interest rate is at a record low of 0.1% in 2021.
This has also led to a significant rise in domestic mortgage lending, which is essential for the housing market.
From this, we can say that the industry is supporting the boost in consumption.
3 Younger average age
The average age of Australians is 37 years old, with the largest population in their 30s.
Since there are many people in their 30s, who are the most willing to spend among all generations, the economic cycle is improved.
The fact that they are highly motivated to consume means that it will raise the level of personal consumption, which has the merit of having a positive impact on domestic demand.
The reason why there is such a large population of people in their 30s is because immigrants from around the world are pushing down the average age of the population.
This will lead to further consumption growth by rejuvenating the average age.
What is the future of the Australian economy?
Australia had 28 consecutive years of economic growth until 2019, before the new corona epidemic.
Few countries in the world have had a long period of positive growth, which shows that the Australian economy is strong.
In conclusion, I can expect that Australia’s economy will continue to grow in the future.
because the country has a large young population and domestic demand will continue to expand.
Since the number of immigrants is expected to continue to increase, the economic outlook is also bright.
With a certain distance from China, we can expect real estate prices to become more reasonable.
- Population growth due to immigration
- Service-oriented economy
- Average age is young
In this article, I looked at Australia from an economic perspective!
Australia is a country where the average age is young and consumer spending is well circulated.
Australia’s average age is young, and consumer spending is well circulated.
There are many positive factors for the future of the economy, so I would like to keep an eye on it.
In this blog, we are constantly updating information about Australia.
It would be encouraging if you could share it on social networking sites.
Thank you for reading to the end!