Economics 550

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Analysis of the business cycle

Outline

Introduction

Analysis

Summary and conclusion

Recommendation

Reference

Introduction

Australia is one of the countries in the world that has been performing well in the last one year . It has a wide range of natural resources such as , minerals , petroleum and coal . Over the last five , most of the exports from Australia have been coming from the mining sector . This sector is monopolized by the government which regulates its daily operations

. Prices in the mining sector are set by the government and not the forces of demand and supply . This will look at the economic performance in Australia over the last six months with more emphasis on the mining sector

Analysis

The gross domestic product is the from all the sectors of the economy . As at January 2010 , the volume of Australian GDP was 1 ,128 ,158 AUD which was an increase from 1 ,101 ,327 AUD in December 2009 . Since then the volume of the has been increasing significantly . This is a sign that the country is becoming stable economically . Most of the GDP comes from the mining sector and the agriculture sector . The government has been issuing subsidies to other industries as a way of raising their productivity

Australia has been experiencing increases in its inflation index for the last six months this has had a negative effect on the country 's currency which has depreciated significantly...