New South Wales (NSW) Economy – Australia’s Basket Case

I have lived in Sydney for 20 months now. I am flabbergasted by the sheer incompetence and lack of strategic vision in this state’s governance. Instead I am choked full with endless political spins, quick fixes, denials – plain rhetoric and inefficiencies. All talk, no action.

Therefore, I made a decision to actively research and refer to articles from creditable sources to reflect an on-going status of this state. My focus will be on the economy performance (especially in comparison to Victoria – similar economic size, non-mining focus state), transport, commitment to public infrastructure, investment in capacity development and education. Ministerial transparency and accountability will also be at the back of my mind.

Because end of the day, everyone deserves to live in a properly managed state.

NSW is the nation’s economic basket case, with figures released yesterday showing the state is growing at about two-thirds the pace of the country as a whole.

The Bureau of Statistics figures show the size of the NSW economy grew 1.8 per cent in the 2006-07 financial year. In contrast, the national economy expanded by 3.2 per cent.

They are the only figures published by the bureau which give a comparable state-by-state breakdown of economic growth, called gross state product.

At the time of the Sydney Olympics, the NSW economy made up almost 35 per cent of the national economy. But its importance has slid since then. NSW now makes up only 32 per cent of the total economy, after losing ground to booming Queensland and Western Australia.

South Australia was the most laggard state last year, growing by just 0.8 per cent. NSW finished second last, the fourth year in a row the biggest state economy has been among the bottom two.

Underlining the paucity of building in NSW, which has aggravated the affordability crisis with a lack of new houses, construction took 0.1 percentage points off the size of NSW’s economy. But while housing construction is down, the business of property remains lucrative. Property and business services were the biggest contributors to the state economy, followed by finance and insurance.

A research director at Grange Securities, Stephen Roberts, said the construction figures would have looked worse earlier in the year, but the housing market had picked up a bit in the past three months.

Source: http://www.smh.com.au/articles/2007/11/16/1194766968048.html

2 thoughts on “New South Wales (NSW) Economy – Australia’s Basket Case

  1. I understand what you are trying to say, and the reason why so many of us in the United States wish to preserve our government of checks and balances. God bless you and your beautiful Australia.

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