Australia's Current Account Deficit (HSC SSCE Economics): Flashcards
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External stability (definition)
External stability (definition)
Gov policy aim for sustainable external accounts long-term
Best measure for CAD comparisons
Best measure for CAD comparisons
As percentage of GDP
Three main explanations for Australia's CAD
Three main explanations for Australia's CAD
Trade deficit, savings-investment gap, consenting adults thesis
Dutch disease (definition)
Dutch disease (definition)
Commodity boom raises exchange rate, hurting other exports
Terms of trade (definition)
Terms of trade (definition)
Ratio of export prices to import prices
Share of Aus export revenue from minerals & energy
Share of Aus export revenue from minerals & energy
Two-thirds
Elaborately transformed manufactures (ETMs)
Elaborately transformed manufactures (ETMs)
Higher value-added manufactured goods
CAD as savings-investment gap means
CAD as savings-investment gap means
Domestic spending exceeds domestic output
Pitchford thesis main claim
Pitchford thesis main claim
Private sector CAD not concerning if no market distortions
CAD range as % of GDP (1980s onwards)
CAD range as % of GDP (1980s onwards)
3% to 6%