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VBE1002– Economics || Analytical Project

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You are required to analyse, prepare and present to the class two articles that reflect the current Australian economy. The objective of this assessment is to gain a more-comprehensive understanding of some key macro-economic issues current in the Australian economy. Students are advised to reflect on what is currently happening in the Australian economy and analyse possible consequences and impacts of micro-economic decisions made. The topic areas you should focus on are as follows:  The price mechanism in the market  Tax reforms by the government  Lack of competition in the marke...

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Question Preview:

You are required to analyse, prepare and present to the class two articles that reflect the current Australian economy. The objective of this assessment is to gain a more-comprehensive understanding of some key macro-economic issues current in the Australian economy. Students are advised to reflect on what is currently happening in the Australian economy and analyse possible consequences and impacts of micro-economic decisions made. The topic areas you should focus on are as follows:  The price mechanism in the market  Tax reforms by the government  Lack of competition in the market  Competition from offshore rivals  Government intervention in relation to market failure

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Solution Preview

Although the Australian economy has experienced growth in the last 27 years without a recession, there are some microeconomic issues that the country is facing in 2019. Under this study, two articles that reflect the current Australian economy are analyzed with its consequences and impact on the microeconomic decision made by the country.

There are some of the challenges that the Australian economy is facing despite its huge growth. Some of them are the downfall in housing prices, competitiveness and productivity. The country needs to put emphasis on decision making regarding the productivity enhancement form agenda. These decisions will help in rising in growth rates of the Australian economy.

The Australian economy is stuck in a downward spiral of falling competitiveness and lower productivity, in part because most Australian governments have not achieved a major microeconomic reform since Humphrey B. Bear last attended the Logies.

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