Intro to Aussie Economy
What is a system that involves the production, distribution, trade and consumption of goods and services
Economy
What do economies rely on?
Hint: There are 4
Consumers
Businesses
Government
Financial Institutions
What does an economy depend on?
Relationship between consumers and producers
What is the size of the Australian economy in the global arena?
Medium-sized
Since 1950, which country replaced the UK as our number one trading partner and receives 32% of our total exports of goods and services?
China
Name 3 resources you can find in an economy.
Natural resources
Labour resources
Capital Resources
Besides consumers and producers, who else plays an important role in the Australian economy?
The government
Financial Institutions
Describe what is cash injection.
Money that enters the economy
What is international trade?
Buying goods and services from and selling them to other countries.
Why did Australia's imports from Asia fell to only $397.9 billion in 2019-20
Travel restrictions due to COVID-19 pandemic.
Name 3 examples of natural resources you can use for businesses.
water
forests
land
coal
fish
wood
Provide the meaning of the terms below.
1. Revenue
2. Profit
Revenue - income a business receives
Profit - Money business earns after taking away expenses
What sector consists of banks and non-banking institutions such as credit unions, building societies and stock market.
Financial sector
What are the top 5 countries who export their products to the rest of the world and what is Australia's global export ranking?
1. China
2. USA
3. Germany
4. Japan
5. UK
21. Australia
A large percentage of what Australia exports to other countries are primary products. What are primary products? Provide 3 examples of primary products.
Products that exist in their natural stage and have not been used to make other goods and services.
Examples: Iron ore, coal, natural gas, gold, crude minerals, wheat, crude petroleum, beef
According to the agency Youth Inside, what are the 3 main things that teenagers spend their money on?
Food (78%)
Streaming services (65%)
Goods such as clothes and shoes (50%)
What is the term used to describe the value of one country's currency when swapped with another country's currency.
Exchange rate
1. What is an economic leakage?
2. What are 3 sources of leakage?
1. Money leaving the economy.
2. Savings, taxation, imports
Name 3 reasons why trade iwrh other countries is important to Australia?
Provide 3 from the list of 8 reasons stated in page 473 of the textbook.
What was the second largest component of import spending in Australia in 2022-23?
Personal travel services- Australians visiting and spending money in other countries.
In economic terms, what does scarcity mean?
There aren't enough resources available to satisfy all our needs.
What successful businesses do Carolyn Creswell and Dean Ramler run in Australia?
Carolyn Creswell - Aussie made muesli products
Dean Ramler - online designer furniture
Name 5 ways Australia is linked to the global economy.
1. Trade with other nations
2. Foreign direct investment
3. International market for labour
4. Technology
5. Migration
Fill up the blanks. In 2023, trade made up ___ of the Australian Gross Domestic Product (GDP) and was directly responsible for ____________ Australian jobs.
48%
one in five
The China-Australia Free Trade Agreement signed in 2015 states 95% of Aussie exports to China will be tariff free. What does this mean?