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Final Paper
Isiah Farias
West Hills Community College-Lemoore
Econ-001A-L03 Macroeconomics
Professor Anne Leonard
05/19/19
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Through my studies, I learned Australia was in a recession in 1974 mostly due to the
1973 Oil Crisis which caused prices to rise and in turn raising inflation to 13%. (Leigh, 2012)
Unemployment rates were high as well. It took years and a different government regimen to turn
around this recession. It’s current status however is one of prosperity, here is the basic history of
it the Australian economy and its current status.
World War II had a great effect on the Australian economy and permanently altered how
their economy operated. Energy was funneled to wartime activities. It wasn’t until after 1945 that
the post economic activities such as increasing production and lowering unemployment rates.
This lasted until 1973 which was the beginning of a recession tat lasted nearly 10 years. Oil crisis
across the globe caused the price of oil to skyrocket and inflation rose as well. To counter this,
