Indeed, Australia has become one of the high-investment countries of the developed world, with the stock of physical capital estimated to have increased at an average rate of around 5 per cent over recent years.
By way of contrast, in many other advanced economies, including the United States, the level of investment has been only a little above that needed to offset the depreciation of the existing capital stock (Graph 2). 2  BIS Review 117/2010  Graph 2  When discussing the impact of Asia on Australia over recent years, the focus has rightly been on China.