In such an inflationary scenario, I expect that we would still find that the resources sector and the parts and regions of the economy that benefit most directly from its flow-on effects would attract additional labour and capital, and become proportionately larger in the national economy over time. Other sectors and regions would, proportionately, still diminish in size.
It would be apparent from your deliberations today that Asia’s financial markets are continuing to develop rapidly. To take the market for fixed interest securities, the total size of the bond market in Asia, excluding the very large Japanese market (which has been highly developed for a long time), now amounts to about $ trillion, having increased substantially over the past five years.