Balance of Trade
Balance of trade is the difference between a country's imports and exports
Australia maintains a favorable balance of trade. Its chief export commodities are coal, iron ore, gold, meat, wool, alumina, cereals, and machinery and transport equipment. The leading imports are machinery, transportation and telecommunications equipment, computers and office machines, crude oil, and petroleum products. Australia's economic ties with Asia and the Pacific Rim have become increasingly important, with China, Japan, and the United States being its main trading partners.
Australia maintains a favorable balance of trade. Its chief export commodities are coal, iron ore, gold, meat, wool, alumina, cereals, and machinery and transport equipment. The leading imports are machinery, transportation and telecommunications equipment, computers and office machines, crude oil, and petroleum products. Australia's economic ties with Asia and the Pacific Rim have become increasingly important, with China, Japan, and the United States being its main trading partners.
A trade deficit is an economic measure of a negative balance of trade in which a country's imports exceeds its exports. A trade deficit represents an outflow of domestic currency to foreign markets.
A trade surplus (a surplus in the balance of trade) occurs when the value of a country's exports exceeds that of its imports.
A trade surplus (a surplus in the balance of trade) occurs when the value of a country's exports exceeds that of its imports.
Australia recorded a trade deficit of 3888 AUD Million in April of 2015. Balance of Trade in Australia averaged -513.94 AUD Million from 1971 until 2015, reaching an all time high of 2254 AUD Million in February of 2009 and a record low of -3888 AUD Million in April of 2015. Balance of Trade in Australia is reported by the Australian Bureau of Statistic
- Exports $258.8 billion (2012 est.)
- Export goods: coal, iron ore, gold, meat, wool,alumina, wheat, machinery and transport equipment
- Imports $239.7 billion (2012 est.)
- Import goods: machinery and transport equipment, computers and office machines, telecommunication equipment and parts; crude oil and petroleum products
Total Exports: $184,544,276,425.54 = 74%
Total Imports: $112,597,533,002.60 = 47.02%
Total Imports: $112,597,533,002.60 = 47.02%
Economic Connections
- Exports and imports affect the economy of a country
- If there are more imports than exports, that means that Australia would be at a loss because they're spending more than they're gaining.
- If there are more exports than imports, that means that it would be beneficial for the country
- If Australia finds itself at a loss or trade deficit, then they should try to produce products that they imports and limit it to just the necessary, and increase their exports. To increase their exports, they should try to make new product locally which would both increase employment and exports
- Keeping a good balance of trade is important because it helps determine weather you're importing too much or exporting too little.
Taxation Policy
Definition: a choice by the government as to what taxes to levy, in what amounts, and on whom (has both microeconomics and macroeconomics in it)
Tax Rates:
Companies ( includes corporate limited partnerships, strata title bodies corporate, trustees of corporate unit trusts and public trading trusts) - 30%
Life Insurance Companies - 30%
Credit Unions -
Tax Rates:
Companies ( includes corporate limited partnerships, strata title bodies corporate, trustees of corporate unit trusts and public trading trusts) - 30%
Life Insurance Companies - 30%
Credit Unions -
- small - 30%
- medium - 45%
- large - 30%
- small and medium -15%
- unregulated -25%
- other - 30%