How Can Australia Benefit from China's Economic Reforms

Australia-China trade and business relationships have been growing significantly in recent years but still have only limited coverage of the Chinese economy. This paper attempts to assess the future benefits to Australia of Chinese growth and associated risks for Australia in the long run. To the extent that the commodities boom continues Australia benefits. However, any disruption to that boom may have severe consequences for the Australian economy. At the same time, the continuation of the boom may be distracting Australia from other potential opportunities that exist in China. As a country that seeks to have balanced economic growth, there are arguments in favour of spreading the risk and to position Australia to take advantage of new opportunities, particularly in the services sector.