If so, the search for alternative investments will see bond yields held down, and possibly greater interest in some of the emerging markets, particularly in Asia. Trends in the Australian Economy So much for global matters. Assuming the above or something like it comes to pass, how might the Australian economy fare over the medium term?
Australia has recorded growth of almost 4 per cent for most of the past decade. I think it is by now well known that this compares very favourably with virtually all developed economies. Subject to some possible caveats which I will come to shortly, it is reasonable to expect, given careful public policies and sensible private behaviour, that good growth can be sustained.