Examine_the_Similarities_and_Differences_Between_Australia_and_an_Asian_Economy_You_Have_Studied.

Examine the similarities and differences between Australia and an Asian economy you have studied. Australia and China have multiple similarities and differences when it comes to their economies, in relation to environmental sustainability and economic growth. Economic growth occurs when there is a sustained increase in a country’s productive capacity over time. This is commonly measured by the percentage increase in real gross domestic product. Environmental sustainability involves conserving and enhancing the countries resources, so that ecological processes and quality of life are maintained and improved. Recent trends show that environmental sustainability has become a vitally important part of modern economies, it’s a crucial part of economic decision making in many countries regardless of whether development is compatible with the natural environment. Australia is home to 22 million people and has a national output ranked just outside the world’s top fifteen, this confirms Australia’s status as a relatively small economy. However within the Asian economic region, the Australian economy is certainly more significant and is ranked as the fourth largest economy. China has the world’s largest economy in terms of Gross Domestic product (GDP) in Asia and the second largest in the world, with a rate of $5,745 US billion. Australia lies with $1, 219 US billion. Recent decades have revealed a third major phase of economic development throughout Asia. Developing Asian economies under which the IMF, which includes China, Indonesia and India have experienced rapid growth and have an average annual economic growth of approximately 7.5% over the decades, it’s suggested that this significant increase is due to the process of economic development within these regions, particularly China and this period of industrialization have displayed a rise in economic growth, although once industrialization is complete – the rate of economic growth will slow down. This contrasts with Australia’s economic growth performance in the sense that Australia has already achieved Industrialization and has not achieved rapid economic growth in recent decades. Australia’s average annual economic growth over the past three decades is slower than most Asian economies, at a rate of 3.2%. Throughout the early 1980’s and 1990’s – Australia experienced several severe downturns, yet has recovered and now has achieved a relatively stable economic growth. During the Asian financial crisis, Australia’s continued growth suggested Australia was becoming less integrated with recently industrialised economies. However continued growth in Australia throughout the global downturn in the 1980’s draws attention to the greater importance of conditions in China, as opposed to Europe or North America for Australia’s future economic performance. Environmental sustainability has become a growing concern and priority in modern economies and is an integral aspect of decision making. Australia has a great approach towards the environment in comparison with other economies in that region through the conservation of National Parks, less water consumption and less air pollution and an efficient industrial process. China on the other hand has been undergoing industrialization and this has produced severe damage to the environment with air pollution, poisoned river system and overall health problems from contact with the pollution and toxic chemicals. Although Australia is implementing strategies to sustain its environment compared to China, its environmental sustainability is still relatively poor. Despite Australia being one of the six most bio diverse nations in the world it still has a poor record for preserving biodiversity.