Comparing Economies: Australia and Indonesia Flashcards
Compare the types of economies of Australia and Indonesia
While both are mixed market economies, Australia is an advanced economy, while Indonesia is a developing economy.
Compare the GDP’s of Australia and Indonesia
Aus - $1393b
Ind. - $1119b
Compare the per capita incomes of Australia and Indonesia
Aus - $52,000
Ind. - $12,000
Compare the GDP growth of Australia and Indonesia
(2019)
Aus - 1.9%
Ind. - 5%
Identify the main features of Australia as an advanced economy
High per capita income and living standards High trade orientation Industrialised High levels of saving and investment High level of human development High degree of environmental quality
Identify the main features of Indonesia as an emerging economy
Low per capita incomes and standards of living
Industrialising
Low levels of saving and investment
Low quality of human development
Account for recent trends in Indonesia’s GDP growth
Expanded its industrial and service output, increased its exports, opened up to foreign investment
Account for recent trends in Australia’s GDP growth
Strong growth during 2000’s from mineral exports during global resources boom. Growth slowed in recent years as Australia transitions to non-mining sources of growth.
Compare the quality of life between Australia and Indonesia.
Human Development Index: Mean years of schooling:
Aus - 0.9 Aus - 12.7
Ind. - 0.7 Ind. - 8
Life expectancy: GNI per capita:
Aus - 83.3 Aus - $44,000
Ind. - 71.5 Ind. - $11,200
Compare the employment trends of Australia and Indonesia
Participation rate:
Aus - 64.6%
Ind. - 66.2%
Unemployment:
Aus - 4.9% (2019-20)
Ind. - 7%
Unemployment rates due to different responses to COVID
Compare the structure of employment between Australia and Indonesia
Primary Industries: Secondary Industries:
Aus - 5% Aus - 8%
Ind. - 29% Ind. - 21%
Tertiary:
Aus - 87%
Ind. - 49%
Compare the income distribution in Australia and Indonesia
Gini coefficient
Aus - 0.344
Ind. - 0.39
Share of income: Poorest 20%
Aus - 7.4%
Ind. - 6.7%
Account for Australia’s more equitable income distribution
Progressive tax system and welfare payments - higher tax paid by higher income earners, redistributed to pensions, unemployment benefits.
Indonesia’s taxation social welfare system is less robust and generous.
Compare the environmental quality of Australia and Indonesia
Access to safe water:
Aus - 100%
Ind. - 89%
Annual Deforestation
Aus: -0.2%
Ind: -0.6%
CO2 Emissions :millions of metric tonnes
Aus - 361
Ind. - 370
Account for the difference in environmental quality between Australia and Indonesia
Indonesia’s rapid industrialisation has led to deforestation, pollution and deterioration.
Australia has strong regulations, but is still challenged by pollution, land degradation, overexploitation of resources.