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The Resources Boom and the Australian Economy: A Sectoral Analysis

Author

Listed:
  • James Bishop

    (Reserve Bank of Australia)

  • Christopher Kent

    (Reserve Bank of Australia)

  • Michael Plumb

    (Reserve Bank of Australia)

  • Vanessa Rayner

    (Reserve Bank of Australia)

Abstract

The increase in Australia's terms of trade since the mid 2000s gave rise to a surge in resource investment, an appreciation of the exchange rate, and a reallocation of labour and capital in the economy. This article examines the impact of the resources boom on the Australian economy in terms of three broadly defined sectors: the resources sector, the ‘other tradable’ sector and the non-tradable sector. While not all parts of the economy have benefited, the process of adjustment has proceeded much more smoothly than has been the case in previous terms of trade booms.

Suggested Citation

  • James Bishop & Christopher Kent & Michael Plumb & Vanessa Rayner, 2013. "The Resources Boom and the Australian Economy: A Sectoral Analysis," RBA Bulletin (Print copy discontinued), Reserve Bank of Australia, pages 39-50, March.
    • Handle: RePEc:rba:rbabul:mar2013-05
    as

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    File URL: https://www.rba.gov.au/publications/bulletin/2013/mar/pdf/bu-0313-5.pdf
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    References listed on IDEAS

    as
    1. Vanessa Rayner & James Bishop, 2013. "Industry Dimensions of the Resource Boom: An Input-Output Analysis," RBA Research Discussion Papers rdp2013-02, Reserve Bank of Australia.
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    Citations

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    Cited by:

    1. Alan Ross Hall, 2018. "International Trade, Real GDP, the Terms of Trade, and the Australian Economy 2011 to 2017," Economic Papers, The Economic Society of Australia, vol. 37(3), pages 220-229, September.
    2. Mrs. Esther Perez Ruiz, 2017. "Mining Spillovers in Chile," IMF Working Papers 2017/177, International Monetary Fund.
    3. Kenneth Clements & Liang Li, 2017. "Understanding resource investments," Applied Economics, Taylor & Francis Journals, vol. 49(20), pages 1950-1962, April.
    4. Knop, Stephen J. & Vespignani, Joaquin L., 2014. "The sectorial impact of commodity price shocks in Australia," Economic Modelling, Elsevier, vol. 42(C), pages 257-271.
    5. Ma, Yiqun, 2015. "Uncertainty and investment: Evidence from the Australian mining industry," Resources Policy, Elsevier, vol. 46(P2), pages 191-201.
    6. Kenneth W. Clements & Liang Li, 2014. "Valuing Resource Investments," Economics Discussion / Working Papers 14-27, The University of Western Australia, Department of Economics.
    7. Sean Langcake & Emily Poole, 2017. "The Resources Economy and the Terms of Trade Boom," RBA Bulletin (Print copy discontinued), Reserve Bank of Australia, pages 27-34, September.
    8. Silvio Tarca & Marek Rutkowski, 2014. "Assessing the Basel II Internal Ratings-Based Approach: Empirical Evidence from Australia," Papers 1412.0064, arXiv.org, revised Jul 2016.
    9. Ma, Yiqun & Wang, Junhao, 2019. "Co-movement between oil, gas, coal, and iron ore prices, the Australian dollar, and the Chinese RMB exchange rates: A copula approach," Resources Policy, Elsevier, vol. 63(C), pages 1-1.
    10. Mariano Kulish & James Morley & Nadine Yamout & Francesco Zanetti, 2023. "Dutch Disease, Unemployment and Structural Change," CAMA Working Papers 2023-38, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
    11. Knop, Stephen J & Vespignani, Joaquin L., 2014. "Industrial Impact of Commodity Price Shocks in Australia," MPRA Paper 104678, University Library of Munich, Germany.
    12. Boyd D. Blackwell & Jim A. McFarlane & Andrew M. Fischer & Brian E. Dollery, 2017. "Diversifying Cores but Stagnant Peripheries: Mining and Other Industry Employment Contributions to Development in Local Government Areas of the Northern Territory," Economic Papers, The Economic Society of Australia, vol. 36(3), pages 317-334, September.
    13. International Monetary Fund, 2014. "Australia: Staff Report for 2013 Article IV Consultation-Staff Report; Press Release; and Statement by the Executive Director for Australia," IMF Staff Country Reports 2014/051, International Monetary Fund.

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