Economics – Media Economics – Media FolioFolio
Nick DukeNick Duke
Beef row with Japan Beef row with Japan sizzlessizzles
Financial Review, 2-3 August Financial Review, 2-3 August 20032003
Mark DavisMark Davis
SummarySummary
Japan has increased tariffs on Japan has increased tariffs on Australian beefAustralian beef
Protests at Japan’s EmbassyProtests at Japan’s Embassy Need for WTO reformNeed for WTO reform
Influencing FactorsInfluencing Factors
WTO’s special “safe-guard” WTO’s special “safe-guard” provisionprovision
Foot and Mouth diseaseFoot and Mouth disease
ConsequencesConsequences
Positive for Japan in short-termPositive for Japan in short-term Lost sales of $80 millionLost sales of $80 million Negative effects on the Balance Negative effects on the Balance
of Paymentsof Payments UnemploymentUnemployment Contraction in demand for beefContraction in demand for beef
Related PoliciesRelated Policies
Negative effects on relationship Negative effects on relationship with Japanwith Japan
Need for unemployment policiesNeed for unemployment policies New trade agreements neededNew trade agreements needed Monetary policyMonetary policy
Bias in ArticleBias in Article
Written form Australian point of Written form Australian point of viewview
Only looks at negative effects Only looks at negative effects that occur to Australiathat occur to Australia
Long road ahead as Long road ahead as trade talks begintrade talks begin
The Age, 21 July 2003The Age, 21 July 2003
Phillip HopkinsPhillip Hopkins
SummarySummary
Free trade negotiations have a Free trade negotiations have a good chance of successgood chance of success
Scheduled for completion at end Scheduled for completion at end of the yearof the year
Free trade does not always have Free trade does not always have positive effectspositive effects
For Australia and America For Australia and America estimated positive effectsestimated positive effects
Influencing FactorsInfluencing Factors
Trade Minister Mark VaileTrade Minister Mark Vaile 20 negotiating teams20 negotiating teams The Australian United States Free The Australian United States Free
Trade Agreement Business GroupTrade Agreement Business Group Improving relationship with USImproving relationship with US
ConsequencesConsequences
Australian economy will increase Australian economy will increase by $15.5 billionby $15.5 billion
US economy will increase by US economy will increase by $16.9 billion$16.9 billion
Appreciation of dollarAppreciation of dollar Balance of PaymentsBalance of Payments On industriesOn industries EmploymentEmployment
PoliciesPolicies
Monetary policyMonetary policy Trade agreementsTrade agreements
BiasBias
Little biasLittle bias Mainly evidence and quotesMainly evidence and quotes Emphasizes positivesEmphasizes positives
Free trade deal on Free trade deal on the tablethe table
Herald Sun, 22 July 2003Herald Sun, 22 July 2003
Gerard McManusGerard McManus
SummarySummary
Australian negotiators put offers Australian negotiators put offers forwardforward
Involves reduction of tariffs and Involves reduction of tariffs and deregulation of marketsderegulation of markets
Large boost to Australia’s Large boost to Australia’s economyeconomy
Influencing FactorsInfluencing Factors
Prime Minister John HowardPrime Minister John Howard Trade Minister Mark VaileTrade Minister Mark Vaile 50 negotiators50 negotiators American IndustriesAmerican Industries US CongressUS Congress
ConsequencesConsequences
Increased revenue for some Increased revenue for some industriesindustries
Reduction of tariffsReduction of tariffs Decrease labeling requirementsDecrease labeling requirements Some industries may still be have Some industries may still be have
tariffs imposed by Americatariffs imposed by America $3 billion a year boost to economy$3 billion a year boost to economy
PoliciesPolicies
Monetary PolicyMonetary Policy Interest RatesInterest Rates TradeTrade
Car makers shift gear Car makers shift gear to accelerate export to accelerate export drivedrive
Financial Review, 2-3 August 2003Financial Review, 2-3 August 2003
George LekakisGeorge Lekakis
SummarySummary
$3 billion earned in exports$3 billion earned in exports Asia is the test for Australian auto Asia is the test for Australian auto
industryindustry Exporting of Australian made cars Exporting of Australian made cars
cancel out the increase in cancel out the increase in Australian buying of imported carsAustralian buying of imported cars
Australian producers created niche Australian producers created niche productproduct
Influencing FactorsInfluencing Factors
Trade AgreementsTrade Agreements Holden and ToyotaHolden and Toyota Relationship between US and Relationship between US and
Middle EastMiddle East
ConsequencesConsequences
Balance of PaymentsBalance of Payments Appreciation of the dollarAppreciation of the dollar Increased employmentIncreased employment Creation of a strong industryCreation of a strong industry
PoliciesPolicies
Monetary PolicyMonetary Policy Trade AgreementsTrade Agreements
BiasBias
Talks about both positive and Talks about both positive and negativesnegatives
Brazin bid to follow Brazin bid to follow fashionfashion
Herald Sun, 17 July 2003Herald Sun, 17 July 2003
Olga GalachoOlga Galacho
SummarySummary
Brazin is considering to move into Brazin is considering to move into surfwear marketsurfwear market
Scaling down music operationsScaling down music operations Linking with surfwear companiesLinking with surfwear companies Investors unsureInvestors unsure
Influencing FactorsInfluencing Factors
Internet and CD BurnersInternet and CD Burners Director of Brazin, Tiny HoDirector of Brazin, Tiny Ho Yoda Holdings, major shareholderYoda Holdings, major shareholder Chief Executive of Brazin, Brett Chief Executive of Brazin, Brett
BlundyBlundy
ConsequencesConsequences
Improved Balance of PaymentsImproved Balance of Payments Less competition in Australian Less competition in Australian
music marketmusic market May see Australian surfwear May see Australian surfwear
being exportedbeing exported
PoliciesPolicies
Trade AgreementsTrade Agreements Monetary PolicyMonetary Policy
Our miracle growth Our miracle growth hits speed bumphits speed bump
The Australian, 4 September The Australian, 4 September 20022002
Sid MarrisSid Marris
SummarySummary
Economic growth is likely to slowEconomic growth is likely to slow Economic growth 3.8% for the Economic growth 3.8% for the
yearyear Interest Rates 4.75%Interest Rates 4.75% Inflation 2.2%Inflation 2.2%
Influencing FactorsInfluencing Factors
RBARBA Treasurer, Peter CostelloTreasurer, Peter Costello Other countries economic Other countries economic
instabilityinstability Previous large economic growthPrevious large economic growth
ConsequencesConsequences
Appreciation of dollarAppreciation of dollar Negative effects on Balance of Negative effects on Balance of
PaymentsPayments Possibility of InflationPossibility of Inflation
PoliciesPolicies
MonetaryMonetary Interest RatesInterest Rates TradeTrade
Threat to growth as Threat to growth as A$ busts US 65cA$ busts US 65c
The Australian, 13 May 2003The Australian, 13 May 2003
Geoffrey NewmanGeoffrey Newman
SummarySummary
Dollar passed US 65cDollar passed US 65c Increasing demand for Australian Increasing demand for Australian
dollardollar Strong domestic economyStrong domestic economy
Influencing FactorsInfluencing Factors
$1.9 billion float of Promina$1.9 billion float of Promina Sliding of US dollarSliding of US dollar Higher interest ratesHigher interest rates Strong domestic economyStrong domestic economy Reserve BankReserve Bank
ConsequencesConsequences
Forecasts incorrectForecasts incorrect Slow growthSlow growth Difficult for exportersDifficult for exporters More competition for local More competition for local
industriesindustries RBA make profitRBA make profit Negative effects on the Balance of Negative effects on the Balance of
PaymentsPayments
PoliciesPolicies
Monetary PoliciesMonetary Policies Interest RatesInterest Rates TradeTrade
Kiwi trips up pecking Kiwi trips up pecking orderorder
The Australian, 16 July 2003The Australian, 16 July 2003
SummarySummary
Australian dollar decreased due to Australian dollar decreased due to depreciation of NZ dollardepreciation of NZ dollar
Influencing FactorsInfluencing Factors
New Zealand inflation figuresNew Zealand inflation figures New Zealand predictionsNew Zealand predictions US economyUS economy Appreciation of EuroAppreciation of Euro
ConsequencesConsequences
Increased investment in AustraliaIncreased investment in Australia Improves balance of paymentsImproves balance of payments Imports more expensiveImports more expensive
PoliciesPolicies
Monetary PoliciesMonetary Policies Interest RatesInterest Rates TradeTrade