Factors Affecting Australia's Economy

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Australia is the only country that is also classified as a continent since it is surrounded by water and is a main continuous expanse of land. Furthermore, Australia has the necessary resources in order to be self-sufficient. While the majority of Australia’s land is not useful besides for tourist purposes such as visiting the beach or the Dundee to see the wild life. Thus, Australia relies on outside people coming in for its main source of income. Australia’s economy has been primarily focused on the service sector, because of an increase of people seeking higher education, globalization, and spatial interaction.
One thing that is unique about Australia is that it’s not just a country but it is also a continent measuring at 7,692,060 sq.
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In addition, there has been a shift in the distribution of jobs due to more skilled works (United Nations, 2016). One of the leading causes of the populations shifting from agricultural work to service is because of the quality of the soil caused by a drought that could have be effected more heavily because of soil erosion caused by over grazing, and poor farming practices. The drought has also made water less accessible with a lower quality, leading to desertification of the land …show more content…
The service sector is where the majority of the workforce is concentrated with 69.5% of the population involved. One major component is the demand for a higher education to receive better jobs (United Nations, 2016). The service sector contributes to 70.1% of the GVA, with careers/jobs focusing in the health care and social assistance fields, with 1,167,573 people being employed in those areas. This can give the younger population to be motivation to do well in school and receive a higher education, since the youth in Australia have a 99% literacy rate (United Nations, 2016). In addition, tourism plays a fairly large role in the service sector with 7.9% of the population being employed through a job involving tourism, which contributes to 5.6% of the total GVA(Tourism Research Australia,pg. iV). While that percentage seems rather small when other factors are taken into account it helps out Australia’s economy. On the other hand, there are quite a few people involved in the industry sector. In recent years the industry sector has seen an increase in the mining and construction areas of industry, but a decrease in the manufacturing and personal services sectors (Australian Industry Report, pg. 25). However, only 20.8% of the population is employed within the industry sector and only contributes to 27.4% of the GVA,

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