AUSTRALIA

Oceania, continent between the Indian Ocean and the South Pacific Ocean7,686,850 sq kmSlightly smaller than the USNote: includes Lord Howe Island and Macquarie Islandworld's smallest continent but sixth-largest country; population concentrated along the eastern and southeastern coasts; regular, tropical, invigorating, sea breeze known as "the Doctor" occurs along the west coast in the summer.

Australia has a prosperous Western-style capitalist economy, with a per capita GDP at the level of the highly industrialized West European countries. Rich in natural resources, Australia is a major exporter of agricultural products, minerals, metals, and fossil fuels. Commodities account for 57% of the value of total exports, so that a downturn in world commodity prices can have a big impact on the economy.

The government is pushing for increased exports of manufactured goods, but competition in international markets continues to be severe. Australia has suffered from the low growth and high unemployment characterizing the OECD countries in the early 1990s, but the economy has expanded at reasonably steady rates in recent years. In addition to high unemployment.

short-term economic problems include a balancing of output growth and inflationary pressures and the stimulation of exports to offset rising imports, especially given the economic crisis in AsiaMachinery and transport equipment, computers and office machines, telecommunication equipment and parts; crude oil and petroleum productsCoal, gold, meat, wool, alumina, iron ore, wheat, machinery and transport equipment.