Author: Andrew Low, RedBridge Grant Samuel

It has now become conventional wisdom in Australia to observe that the growth of China and, to a lesser extent, other countries in Asia rescued our economy from a likely recession after the global financial crisis. While a sound banking system and proactive fiscal and monetary response were also important, Australia was fortunate to be the most proximate and efficient quarry for commodity-hungry capital investment in the region.

There is, however, a danger that Australia’s good fortune in having good customers and terms of trade might lead it to overlook the other fundamental changes going on in the region. Read more…