COMMENTARY TASK
TASK OUTLINE:
Students are to research 1 (one) focus article and a minimum of three (3) supporting articles on any topic (eg: impact on the economy, impact on the Australia dollar etc) relating to the Australian economy and International Economics.
The student must provide a summary of the focus article and connect the articles theme to the likely impact to the Australia's economy in terms of globalisation, Balance of Payments, trade, investment, exchange rate and the domestic economy.
Assessment Outline
STATEMENT OF PURPOSE
The assessment provides the student with an opportunity to apply knowledge of an economic issue that is relevant to Australia's Trade and Investment Flows (Balance of Payments)
Commentary Outline
Find one (1) focus article from published news media [eg. newspaper, magazine or internet] on an International Economic Issue of your choice.
Find three other articles to support the section on Balance of Payments, Domestic Economy and the Exchange Rate.
Topics for your research article could be as follows however not limited to: "The collapse of the Mining Boom", "A deterioration of the Terms of Trade", "The impact on Australia's trade as a result of China's economic slowdown", "Tourism" "Free Trade Agreements with China & Japan" , "Trans Pacific Partnership"" or "The decline of the Australian car industry".
You are to:
1. Briefly summarise the main ideas in the article, using at least two quotes from the article to support your comments. Be sure to find an article with applicable economic data.
2. Link the main ideas from the article to the likely positive and/or negative impact on Australia's trade and investment flows within the Balance of Payments.
3. Use the Circular Flow Model (AD-C+I+G+X-M) to explain the economic impact on Australia's domestic economy.
4. Outline the likely impact on Australia's exchange rate.
5. Provide a conclusion.
Commentary
Summary of Article
• chosen article reflects Australia's external stability (B of P)
• clearly and concisely summarise the main ideas in the article
• use quotes from the article as examples in your writing
• outline major policy issues for example impact on GDP or unemployment
• provide a summary of any economic statistics/figures/data
- Identify and outline, through analysis of economic information, major policy issues in relation to the Australian economy
- Write commentaries on articles from published news media, analysing and detailing the links between the article and economic concepts/models as applicable.
Impact on Balance of Payments
• link the main ideas from your article to the likely impact on the Balance of Payments
• the following should be analysed
o BOGS
o Primary income
o Current A/c balance (deficit)
o Financial A/c (Direct and /or Portfolio investment
- Analyse and interpret economic data/information relating to economic measures and principles
Impact on the Domestic Economy
• outline the likely impact on Australia's economic performance utilising the circular flow model and aggregate demand
• include in your analysis the likely impact on GDP, National Income, unemployment and inflation
- Compare, through analysis and interpretation of given economic data, the performance of the Australian economy within a given timeframe.
- Predict the consequences of specified economic decisions.
Impact on Australia's exchange rate
• outline the type of exchange rate that Australia has and why it was adopted
• link the changes in trade and investment flows to the determination of the Australian Dollar (AUD)
• outline the likely positive and/or negative as a result of an appreciation or depreciation of the Australian dollar
- Identify key macro-economic concepts used in decision making.
- Outline, from information analysis, the strengths and weaknesses of specified economic policies and decisions, including those from government.
Conclusion
• briefly link this to the pursuit of economic sustainability
- Synthesise evidence to draw conclusions.