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Economic policy for rural and regional Australia

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  • Freebairn, John W.
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    Abstract

    The efficiency and equity effects of economic policies affecting the quarter of Australians who live in rural and regional Australia (RARA) are reviewed. For the most part it is argued that economy-wide policies, rather than region or industry specific policies, are appropriate. Progressive income taxation, means-tested social security payments and government funded education, health and other services directly and efficiently redistribute to support equity. Subsidies for particular industries in RARA, such as dairy, and input subsidies targeted at RARA, such as community service obligations, misallocate resources and are ineffective in meeting equity goals. Better property rights and procedures for allocating most natural resources, especially water, are necessary.

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    File URL: http://purl.umn.edu/116992
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    Bibliographic Info

    Article provided by Australian Agricultural and Resource Economics Society in its journal Australian Journal of Agricultural and Resource Economics.

    Volume (Year): 47 (2003)
    Issue (Month): 3 (September)
    Pages:

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    Handle: RePEc:ags:aareaj:116992

    Contact details of provider:
    Postal: AARES Central Office Manager, Crawford School of Public Policy, ANU, Canberra ACT 0200
    Phone: 0409 032 338
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    Web page: http://www.aares.info
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    Related research

    Keywords: Community/Rural/Urban Development;

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    1. Preston, Alison, 1997. "Where Are We Now with Human Capital Theory in Australia?," The Economic Record, The Economic Society of Australia, vol. 73(220), pages 51-78, March.
    2. H. M. Kolsen, 1983. "Effective Rates Of Protection And Hidden Sectoral Transfers By Public Authorities," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 27(2), pages 104-115, 08.
    3. Ross Garnaut & Vince FitzGerald, 2002. "Issues in Commonwealth-State Funding," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 35(3), pages 290-300.
    4. Quiggin, John C., 2001. "Environmental economics and the Murray-Darling river system," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 45(1), March.
    5. Dixon, R. & Shepherd, D., 2000. "Trends and Cycles in Australian State and Territory Unemployment Rates," Department of Economics - Working Papers Series 730, The University of Melbourne.
    6. Stephen P. King, 2002. "Reviewing the Trade Practices Act: The Dawson Committee Inquiry," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 35(4), pages 423-429.
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