Western Australian Economy. Legal and Political Environment - Essay Example

? Introduction Globalization has witnessed the inclusion of economic and technological resources to complete the developments witnessed within the society. Economic globalization, conversely, has been presented to complete the adaptations needed to present stable economies. The industrial and commercial sectors have been the leading presentations used to offer the needed ventures to achieve stability in income generation and present stable resource acquisition. Developed societies have excelled in presenting stable economies with a larger share in GDP and proper application of the resources available. With the competition in the business industry to maximize on the available resources, opportunity generation is elevated. The other stable presentation has been in the government provision to offer the needed resources and opportunities to stabilize the economy. Western Australian economy has been the example of the dominant GDPs in the global sector with an elevating sector that is boosted by stable supply in the resources. The economy has been developed based on the principles required in developing stable economies capable of presenting support to the existing population. The economy has grown since 2010 by 3.5% with a stable supply of mineral reserve and energy to drive the industries (Government of WA, 2002). With globalization, the existing sanctions and limited operations within borders have been opened to promise free participation of foreign members in exploiting the resources available within the country. The globalization aspect has been noticed to play a significant role in developing the stable economy of Western Australia with resources and energy sources benefiting from the modernization process. Legal and Political Environment The political sector within the Western Australian economy sector has been classified to be advanced into providing the needed platform to conduct business activities. With the economy supported by stronger policies and a stable mining economy, the developments have been subjected towards maintaining the level of income within the industrial sector. The global Financial Crisis (GFC) had been avoided due to the strength of the policies subjected towards developing the available resources and allowing the needed platform to conduct foreign business (WACAR, 2010). The resources have developed the ideology in the government and legal framework and offer stable employment opportunities and utility of the resources (Scott, 2012). Western Australia covers the region of an estimated one-third within the whole Australia with the majority of the labor supplied by the interstate and international workforce. The other contribution by the WA government has been extended in the provision to offer a $30 billion budget to be supported to development sector (WACAR, 2010). The state has supported the needed initiatives to be invested in development projects to favor the increasing market sector with the labor department encouraging foreign policies to add to the population. With the increasing population, the budget has also been developed to support modern urban housing projects to the increasing population within the economy. The population with the incentive that is given to development projects and the business community prefers the current elected government. The government realizes the need to offer stability within the WA economy by presenting the needed funds to develop the health sector, education and infrastructure. The legal framework is supportive of the reforms to support health facilities and offer strict regulations against the parties that exploit the oil resources. The state government laws support the stable urban system and the by-laws that offer security to the development platform noticed within the region. Financial Climate The economy is greatly supported by the export of minerals in gold and natural gas and boasts of a dominant facility to support the industries within the economy. The largest state in Australia is situated at a location that contains abundant resource that accounts for 46% of all Australia’s export. This would mean that the region is the vastly developed within the continent to offer the majority of revenue to foreign and local population. In the fiscal years 2010-2011, the state recorded a GDP of $193 billion and accounted for the total 14.6% of the GDP (Government of WA, 2012). The resources and stable government to compare to the world’s economies that are identified to promote developmental features have supported the economy of WA. The investments in the projects found within the economy constitute of $170 billion in revenue with development of industries to support local and foreign investment (Economy Watch Content, 2010). The financial industry has been supported by the demand for products from the booming Asian market with China and Japan the leading source of the revenue from export of the resources generated within the economy. Singapore has been the leading source of import to the state valued at $12 billion with the U.S. totaling to revenue of $3.5 billion. Key Players in the Industry Japan had been the leading export destination of the resources until 2011 when China became the chief participant (Curan & Glynn, 2012). China provided the largest market for the resource in iron ore to present the ration in 68% of the total ore produced (Government of WA, 2012). Local businesses and investments within the local market have also improved the growth of the economy with the development presented in the production process. The consumption has also increased on the domestic level with the need to satisfy distribution of the local products in cars, food and the electronics. The resources are increasingly in demand from Asian nations with the mineral reserve presenting the export proportion to stabilize the economy. The U.K. has provided the needed platform for gold acquisition to present an export value of $4 billion. Japan and China further offer the needed platform to export LNG products and crude oil to constitute a total of $12 billion in revenue to the economy (Brinsden, 2012). The stable support from the international community and the globalization trend within the WA economy has presented the needed measures to establish development. With the abundant mineral reserve and diversified system of business, the GDP has been boosted through exporting the mineral reserves to the Asian nations. Managerial and Labor environment The employment rate within WA has been elevated due to the increased business investment allowed by the government. The employment rate has elevated in the recent year to witness a 3.1% increase in the labor sector. The mining industry added 104,400 staff members to cater for the increasing demand for products on an international scale (Government of WA, 2012). The construction industry has been the other sector that as increased the staff members to cater for a 12% increase in the capacity of the members. The labor sector has improved in the manufacturing sector by 5.4% with transport and postal presenting the needed incentive in offering developmental features in the booming economy (Government of WA, 2012). Western Australia has since witnessed the growth in the investment industry to accommodate the developed resources and the needed output to generate the energy for sustained development. The development in the growth of the resource sector has been reflected in the shortage witnessed in the production sector of skilled labor. The government has since invited the participation of foreign parties within the nation to help in the production of the products. Overseas migration has been identified as the solution to curbing the shortage with international participants leading to the development of the available facilities (Heshmati, 2003). The condition within WA to favor investment and development has been reduced to the income package offered to the employment sector. WA as compared to Australia has favored wages with the payment per week reaching the levels of $500 (Government of WA, 2012). This has boosted the economy growth with constant supply of skilled labor. Consumers The production industry has been developed based on the increased population due to globalization trend making WA to compose of 10.4% of the total Australian environment (Government of WA, 2012). This population has provided the market needed for investment and utilize the production of the resources found within the society. Apart from Asia as the export destination of the manufactured products, there is the link to deliver satisfaction to the locally available market (Government of WA, 2002). The stable food supply has promised stable supply to the growing families with wheat production providing the larger share of the food production process (CCI Advocacy, 2011). The other consumers have been in tourists who venture into the state to enjoy the packages in the tourism sector. U.K. and Ireland have been the leading participants in the tourism sector to boost the revenue needed to support the developing the economy. WA boasts of a larger GDP with both local and international market providing the needed ventures to support the available resources. International Competitors The leading competitions to the developed economies like that of WA are realized in the provision from underdeveloped societies. These have provided the market with alternative resources because there is the need for affordability. Apart from the competition from the developing societies like India, the competition has been realized in other developed nations like the U.S. and China. These are the economies with a realized elevated level of democracy to allow the globalization trend witnessed. They have offered the ventures needed for tourism attraction to limit the development within the economy of WA. The state has provided further incentives in presenting the platform for international investment and migration, with security and promised legal reforms to attract foreign investments. The competition has been projected to the investment that has been favored in the abundant reserve that promises to offer development to foreign factories (Marinova, 2006). The other competition has been in the private sector that has offered development to corporate policies failing to reflect the results to the economy. Although the competition is evident, the provision for a stable economy with the promised results in boosting the economy into an advanced system in the Australian economy. Conclusion Western Australia has been developed based on the open policies and the globalization process that has boosted the available reserve. Without the open borders and the needed provision to support the economy, the available ventures may not be fully exploited. However, with the organized government system and foreign investment in the insufficient labor market, the result has been noticed in an elevated GDP. Globalization and the abundant resources have favored the progress witnessed within the WA economy. References Brinsden, C. (April 2012). WA economy outperforms rest – CommSec. News.com. Retrieved 9 May 2012, from: CCI Advocacy. (March 2011). A sustainable population strategy for Australia. Retrieved 9 May 2012, from: Curan, E. and Glynn, J. (May 2012). Australia's New Budget Hits Defense Spending. The Wall Street Journal. Retrieved 9 May 2012, from: EconomyWatch Content. (May 2010). Australia Economy. Economy Watch. Retrieved 9 May 2012, from: Government of WA. (July 2002). Globalisation and the Western Australia Economy. Economic Research Paper. Retrieved 9 May 2012, from: Government of WA. (2012). Western Australia Economic Profile- February 2012. Retrieved 9 May 2012, from: Heshmati, A. (April 2003). The Relationship between Income Inequality and Globalization. Retrieved 9 May 2012, from: Marinova, D. (2006). The international handbook on environmental technology management. Cheltenham [u.a.: Elgar. Scott, J. (May 2012). Gillard Seeks Australia Budget Surplus to Halt Poll Slide. BusinessWeek. Retrieved 9 May 2012, from: Western Australian Corporate Acquisition Register (WACAR). (2010). Doing Business in Western Australia. Retrieved 9 May 2012, from: Read More