The Australian economy is defined as a mixed market economy, which means that it is made up of both public and private firms. This country’s gross domestic product (GDP) was $1.62 trillion in 2015, making it one of the world’s most prosperous countries.
The gross domestic product (GDP) per capita varies between $47,000 and $52,000. The mining and agriculture industries are the backbones of the country’s economy.
As a country, Australia is made up of eight states. Each of these states has had varying degrees of economic success, with some benefiting more from mining and agriculture than others. This article examines the economy of Australia’s states.
Top 8 Richest And Poorest States Of Australia
1. Northern Territory
Northern Territory is in Australia’s center north. It has a population of 244,000 people and a total area of 548,640 square miles. This is the country’s least populous and poorest state.
The main economic activity in this town is mining, which employs about 4,600 people. Mineral and petroleum extraction and production are the emphases of this industry.
Petroleum and natural gas are the most significant products, accounting for 33.4 percent of the mining industry, followed by metal ores and concentrates at 20%.
Northern Territory’s mining sector provides roughly $2.5 billion to the territory’s gross state product, which is $23.648 billion. The GSP per capita is $96,906, which is greater than the national average and the second-highest in the country
2. The state of Tasmania
Tasmania consists of one big island and 334 smaller islands off the coast of Australia. It has a population of 518,500 people and a total area of 26,410 square miles.
This island state has always relied on mining, logging, and farming to make money. The economy has changed dramatically in the previous decade or so. Tasmania now exports items such as Atlantic salmon, crayfish, and abalone, and the fishing sector plays an essential role.
This state’s agricultural emphasis has also altered, with wine, saffron, and cherries also being produced. With a rising number of international and Australian tourists, tourism is now one of the most important contributions to the economy.
Tasmania’s GSP is estimated to be $26.04 billion, up 1.3 percent over 2014/2015 figures. The GSP per capita in 2015/2016 is $50,327. Despite a rise of.9% over the previous year, this is still lower than the national average and any other state in the country.
3. The territory of Australian Capital Territory (ACT)
This territory contains Canberra, which serves as the country’s administrative center. It is a small enclave in New South Wales, Australia’s southern state. This capital territory is 910 square miles in size and has a population of 395,200 people.
This state has a lower unemployment rate than the national average. Its economy is dependent on public sector employment, which accounts for 29.8% of GDP. Public administration employs around 33.9 percent of the population.
The gross territorial product (GTP) is estimated to be approximately $34.866 billion, with a per capita income of $89,975, the third-highest in the nation.
4. The state of South Australia
South Australia is in the country’s south-central area. It has a population of 1,706,500 people and has a total area of 402,903.
The health care and social support industry, which employs over 103,000 people, is the state’s biggest employer. With 91,900 employees, retail is the second biggest employer. Manufacturing employs 83,700 people.
Automotive, pharmaceuticals, military technology, and electronic systems manufacturing are the mainstays of the manufacturing industry. It accounts for around 11.7 percent of the GSP and is the leading provider of state exports. South Australia exports more than any other Australian state.
For 2014/2015, the GSP was $98.539 billion. The average per capita income in Australia is $58,253, which is the second-lowest in the country.
5. Western Australia (No. 4)
Western Australia includes the whole of Australia’s west coast. It has a population of 2,613,700 people and occupies a total area of 1,021,478 square miles. This is the most populous and biggest state in terms of area.
Mineral and petroleum mining are the major economic activities in Western Australia. Its export industry is also a major contributor to the economy as a result of natural resource exploitation.
Gold, crude oil, alumina, liquefied natural gas, iron ore, nickel, and wheat are among the most often exported items. Agricultural output earns the state $1.7 billion in export revenue. Western Australia’s exports account for 46% of the country’s total exports.
The state’s gross national product (GSP) in 2014/2015 was $276.312 billion, putting it in the top four economies in the country.
This is so vast that, if Western Australia were an independent country, it would rank among the world’s top 50 economies. The per capita GSP is $98,012, which is the highest in the nation.
Queensland is in the country’s northeastern corner. It has a population of 4,827,000 people and covers 715,309 square kilometers. This state is home to tens of the country’s major cities.
Queensland’s economy is the third biggest in Australia, accounting for 19.5 percent of total GDP. Mining, agriculture, tourism, and financial services are the most prominent industries here.
In approximately the previous decade, this state’s export items have increased, and it currently exports over $49.4 billion worth of commodities. Coal, beef, aluminum, copper, copper ores, copper concentrates, fertilizers, and animal feed are among the items that represent the most significant economic sectors.
The retail business (11.7 percent of the workforce) and construction are the two largest employers in the area (11 percent of the workforce).
The GSP in 2014/2015 was $300.270 billion dollars. However, the GSP per capita was only $63,209, somewhat more than the national average.
Victoria is the most southern of Australia’s states and is situated on the country’s east coast. It covers 91,753 square miles and has a population of 6,039,100 people.
This state has the country’s second-largest economy, accounting for over 25% of the national GDP.
Financial services (30.5 percent of GSP), social and personal services (16.6 percent of GSP), manufacturing (15.4 percent of GSP), and wholesale and retail trade are the top contributors to Victoria’s economy (12.1 percent of the GSP).
The biggest employer among them is social and personal services, which employs 27.4 percent of the state’s workforce.
Victoria’s GSP in 2014/2015 was $355.580 billion. GSP per capita averaged $60,413.
8. New South Wale
New South Wales is a state in Australia situated just north of Victoria. It has a population of 7,704,300 people and occupies 312,528 square miles.
New South Wales has Australia’s biggest economy, accounting for 30.8 percent of the country’s GDP. This suggests that New South Wales’ economy is bigger than the economies of several independent countries, such as South Africa, Malaysia, Colombia, and Thailand.
Services, mining, industrial and transportation equipment, and food processing are its main sectors. There is also a sizable financial services industry in this state.
The Richest And The Poorest States Of Australia
|Rank||State or territory||GSP (million A$, 2003–04)||GSP (million A$, 2013–14)||Net growth (million A$)||Growth rate per year|
|1||New South Wales||399,266||487,637||88,371||2.02%|
|6||Australian Capital Territory||27,132||35,566||8,434||2.74%|
New South Wales generated $506.918 billion in gross state product in 2014/15. Its average Gross Domestic Product (GDP) per capita was $66,966.