AUSTRALIAN FACTS:
Economy
- overview: Australia has an enviable Western-style
capitalist economy with a per capita GDP on par with the
four dominant West European economies. Robust business
and consumer confidence and high export prices for raw
materials and agricultural products are fueling the
economy. Australia's emphasis on reforms, low inflation,
and growing ties with China are other key factors behind
the economy's strength. Drought and strong import demand
pushed the trade deficit up in recent years, although
the trade balance improved in 2006. Housing prices
probably peaked in 2005, diminishing the prospect that
interest rates would be raised to prevent a speculative
bubble. Conservative fiscal policies have kept
Australia's budget in surplus since 2002.
Source: CIA World
Fact Book
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