Like what you've read?

On Line Opinion is the only Australian site where you get all sides of the story. We don't
charge, but we need your support. Here�s how you can help.

  • Advertise

    We have a monthly audience of 70,000 and advertising packages from $200 a month.

  • Volunteer

    We always need commissioning editors and sub-editors.

  • Contribute

    Got something to say? Submit an essay.


 The National Forum   Donate   Your Account   On Line Opinion   Forum   Blogs   Polling   About   
On Line Opinion logo ON LINE OPINION - Australia's e-journal of social and political debate

Subscribe!
Subscribe





On Line Opinion is a not-for-profit publication and relies on the generosity of its sponsors, editors and contributors. If you would like to help, contact us.
___________

Syndicate
RSS/XML


RSS 2.0

Continued economic growth will make this the Chinese Century

By Phil Ruthven - posted Monday, 17 November 2003


In the business world, it is the manufacturing sectors in developed economies that are decidedly nervous; and for good reason. Local and (particularly) foreign owned manufacturers are installing world best practice equipment and technologies in China to produce goods at both the mass-market and up-market levels for domestic consumption and exports. The economies of scale in China are unlike anything the world has ever seen.

In Australia, our manufacturing sector had already shrunk in relative terms from 29 per cent of GDP in 1960 to 10.6 per cent in 2003. This was mainly due to increased productivity, and secondly due to competing imports. The addition of China more recently as a competitor will see this downward trend continue. Our once giant agricultural industry, at 25 per cent of GDP in 1901, is now just three percent; so there is a precedent. That decline did not stop Australia improving its GDP 36-fold in the 20th Century and its standard of living by a factor of seven times. Nor will the continuing relative decline of manufacturing in the 21st Century adversely affect our growth in the 21st Century.

There are many industries – including export-oriented new industries such as tourism, energy, mining, information, education and others - that will more than fill the void left by manufacturing.

Advertisement

However, China’s rise, alongside the continued economic power of the USA, will create two giant anchor nations in the Asia Pacific region; Australia’s home region. This will enable a niche economy such as Australia’s to do extremely well in the 21st Century, provided we don’t tilt at windmills and pretend that we can compete across the board in all industries against the giants.

  1. Pages:
  2. 1
  3. Page 2
  4. All

Article edited by Nick Biddle.
If you'd like to be a volunteer editor too, click here.



Discuss in our Forums

See what other readers are saying about this article!

Click here to read & post comments.

Share this:
reddit this reddit thisbookmark with del.icio.us Del.icio.usdigg thisseed newsvineSeed NewsvineStumbleUpon StumbleUponsubmit to propellerkwoff it

About the Author

Phil Ruthven is Chairman of IBISWorld.

Other articles by this Author

All articles by Phil Ruthven
Related Links
Feature: Is this the Chinese Century?
IBISWorld
Photo of Phil Ruthven
Article Tools
Comment Comments
Print Printable version
Subscribe Subscribe
Email Email a friend
Advertisement

About Us Search Discuss Feedback Legals Privacy