Monday, August 25, 2003

THE AUSTRALIAN SUCCESS-STORY

Under conservative (market oriented) management from both major political parties, the Australian economy has been one of the world's big economic success stories in the last 10 years -- averaging 4% growth year after year despite world upheavals. How come? A recent economics research paper found 3 main reasons:

"Strengthening competition from domestic and overseas sources; Opening the economy to trade, investment, technologies and know-how developed overseas; By providing greater flexibility (for example, less regulatory restriction and a more flexible labour market) to adjust production processes and firm organisation."

Classic free-marketeer recommendations, in other words -- in plain English: Cutting government protection for local industries, allowing in that dreaded foreign investment, reducing government regulation and not letting the unions rule.

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