Difference Between The And Australia

Better Essays

Seasonally adjusted data March quarter 2014 - March quarter 2015 December quarter 2014 - March quarter 2015
Australia 2.3% 0.9%
United States 2.9% 0.14966% (≈0.150%)
(Australian Bureau of Statistics, 2015) (Bureau of Economic Analysis, U.S. Department of Commerce, 2015)
There is a slight difference in growth change over the past year for the US and Australia (by 0.6%). The difference between the respective levels of growth over the December quarter 2014 – March quarter 2015 is greater (0.89). Overall, economic growth patterns are similar between the US and Australia. b. Seasonally Adjusted data has been used: Australia United States
Highest rate of growth Exports of goods and services (at 5.0% pts) Gross private …show more content…

"The Westpac–Melbourne Institute Index of Consumer Sentiment fell by 3.2% in July from 95.3 in June to 92.2 in July." (Westpac Institutional Bank, 15 July 2015)

(Trading Economics, 2015)

Consumer confidence plays a major role in indicating the future performance of an economy as the household consumer expenditure often makes up the most significant proportion of GDP. Therefore, changes in this variable will have an effect on GDP; and it is likely to be a leading indicator of growth (real GDP).

By falling 3.2% it suggests there is lesser confidence than previously in aspects such as future employment prospects and consumers views on the future stability of prices. By increasing savings they are looking long-term in hopes of increasing their future standard of living and are taking steps to try cope with any unexpected potential expenditure increases. However the index is still at a level that describes consumers to still be relatively confident which suggests the possibility of a future increase in GDP (growth). However, it is important to note that a small sample size (5000) is used and thus may not be a true representation of consumer confidence. MONEY SUPPLY:
Money supply is the aggregate amount of money in the economy (in its various forms, with varying

Get Access