Australian Mining Resource with Demand and Supply-myassignmenthelp

Question: Discuss about theAustralian Mining Resource with Demand and Supply. Answer: Introduction: Australia is one of the mineral rich country that contributes substantially in the countrys growth projectile. According to the statistics, mining industry of the Australia shares 8.4% to the GDP of the nation that has allowedit to become one of the largest growth multiplier for the nation (Ivanova 2014). However, over the year since 2006, there has been reduced growth in mining industry of Australia due to various reasons (Bishop and Cassidy 2017). Recently it has been observed that there is certain rise in the tech metals production, which is aiding the countrys economy to face a mining boom again. According to the article posted in the ABC news, coming mining boom in the country is set to get motivated by the tech-metals (McHugh 2018). This report is focused to discuss the selected article with the various economic tools like supply and demand framework and trace who are the affected stakeholders. In addition to this, analyzing the selected article the report will portray recommen dation to gauge or enhance the situation. Assessment of the elected editorial: According to the selected article it has been found that there is certain rise in the Australian tech metals in the world economy and in addition to this it is obvious that Australian economy is all set to face another mining boom in the coming years. Australian economy is accounted for 2.2% mining ore trading out of total world mineral trade (McHugh 2018). It generates large amount of employment in the nation and with the rise in the demand of the Australian tech metals from the developed countries, it is all set to face another boom in the recent years. There has been certain fall in the demand of the Australian mining products during the Global Financial Crisis during 2008 that has slowed down the growth of the Australian mining boom since 2010 (Dwyer et al. 2016). Next to this recently it has been found that the Australia possess tech metals that can be proved as the stimuli for the next economic boom. In addition to this, the article also highlights that one of the main reason f or the recent rise in the Australian mining industry is the rise in productivity of the human capital. As a result the nation is about to face its next mining boom like post 2003 (McHugh 2018). Effect on the stakeholders: Since 2003 to 2006, is acknowledged as the golden age of the Australian mining industry, where the demand for mining products of the country has been rising at a rapid rate. However, due to demand gap since 2010 as well as saturated world market altered the situation for the Australian mining industry (Hagenbuchner and Tsoi 2016). For this, there has been various job less ness for the skilled, semi-skilled and unskilled labors. In addition to this, fall in the demand of Australian mining products has also caused reduction in the demand of the Australian dollars that has depreciated the Australian currency compared to the other nations. Thus, considering the selected article affected stakeholders are the patrons of the mining industries as well as the employees too because there has been loss in employment due to fall in the demand of the mining industry. However, it has been observed that there is rise in the demand of the Australian demand in the international market, which is direc t outcome of the rise in need of the tech metals of Australia (Paterakis, Erdinand Catalo 2017). In this case affected stakeholders are the semi-skilled and unskilled labors because they are not being employed to the desired percentage in the mining industry. Analysis of the report with economic ideas: Supply and demand framework is one of the best economic model that can explain the Australian mining industry efficiently (Rees 2017). Considering that the economy is in such a position where the economy is facing lower demand as well as lower supply, then it is obvious that the economy will achieve lower revenue from the industry. In addition to this, lowered revenue has reduced the employment. However, there is recent rise in the Australian demand that has enhanced the aggregate demand of the mining output of the nation. It is aimed to enhance the price level, which can enhance the employment through back hand effect of the demand rise. In addition to this, the article also highlights that recent growth of the mining industry will enhance the government expenditure, which will enhance the infrastructure of the economy that can provide sustainability to the economy and make it market leader in the mining industry (Epstein and Buhovac 2014). Recommendations to control the state of affairs: Australian mining industry situation is getting better off in recent days. Thus it is high time for the economy to grab the opportunity to become where it was during 2006. In order to grab the opportunity recommendation are as follows: It is highly required for the economy to adopt vocational training program for the miners. It will enhance the productivity and transform them into skilled lab our, which will help both the mining output as well as the economy of the nation as a whole. Secondly it would be ideal for the government to take export promotion and provide proper exposure to the mining industry of the nation so that it can withstand against the strong competition from the countries like China and India who are selling mining products at lower cost. Conclusion: Considering the case of the Australian mining industry, it can be seen that there was fall in the demand of the Australian minerals in the world market. With rise in the substitute producer of the minerals like China and India, who can produce minerals at lower cost has snatched the market share of the Australian mining industry. However, by analyzing the selected article it can be seen that recent rise in demand of the Australian mining products due to presence in tech metals has been possible due to presence of the tech metals in the mines of the nation. The report concludes with the idea that the economy of Australia can become a market leader once again if they can grab the present opportunity efficiently through utilizing the provided recommendations. Reference: Bishop, J. and Cassidy, N., 2017. Insights into Low Wage Growth in Australia.RBA Bulletin, March, pp.13-20. Dwyer, L., Pham, T., Jago, L., Bailey, G. and Marshall, J., 2016. Modeling the impact of Australias mining boom on tourism: a classic case of Dutch disease.Journal of Travel Research,55(2), pp.233-245. Epstein, M.J. and Buhovac, A.R., 2014.Making sustainability work: Best practices in managing and measuring corporate social, environmental, and economic impacts. Berrett-Koehler Publishers. Hagenbuchner, A.P.M. and Tsoi, E.P.A.C., 2016. Evaluation of Neural Network Models for Australian Energy Market Operators Five Minute Electricity Demand Forecasting. Ivanova, G., 2014. The mining industry in Queensland, Australia: Some regional development issues.Resources Policy,39, pp.101-114. McHugh, B. (2018).Why the next mining boom will be driven by tech metals. [online] ABC Rural. Available at: https://www.abc.net.au/news/rural/2017-04-17/next-mining-boom-in-australia-is-tech-metals/8443172 [Accessed 6 Apr. 2018] Paterakis, N.G., Erdin, O. and Catalo, J.P., 2017. An overview of Demand Response: Key-elements and international experience.Renewable and Sustainable Energy Reviews,69, pp.871-891. Rees, J., 2017.Natural resources: allocation, economics and policy. Routledge.