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Winnipeg Free Press
25-04-2025
- Business
- Winnipeg Free Press
Australia needs a complex economy ‘to ensure future growth and reduce vulnerability to foreign powers,' report says
Los Angeles (DNA) – Australia boasts some of the world's most sophisticated political institutions and one of its wealthiest economies. But a 'ticking time bomb' of overreliance on extractive industries must be addressed under Australia's next government, a new report recommends. The country's current development is resulting in 'rising political polarization, deepening inequality and heightening exposure to the deeper geopolitical tensions emerging between the U.S. and China,' according to an Australia BGI Report on the country's governance performance, released eight days before the May 3 election. Based on the Berggruen Governance Index (BGI), the report was conducted by researchers from the Los Angeles-based Berggruen Institute think tank, the Luskin School of Public Affairs at the University of California Los Angeles (UCLA) and the Hertie School, a German university. According to the report, Australia has long benefited from favourable economic, geopolitical and demographic conditions, scoring highly on almost all governance measures in the BGI. But cracks are starting to show. Eroding public trust in government is providing 'the backdrop for a hotly contested federal election,' during which the centre-left Labor Party is seeking to defend its majority against the centre-right Liberals. While the Labor Party was previously projected to lose after a lacklustre post-pandemic economic recovery, it has recently risen in the polls — a reversal mirroring a similar trend in Canada, in which U.S. President Donald Trump has amplified negative associations with conservatism. Now, the Australian Labor Party is projected to win by a slim margin. However, the stresses that have plagued the Labor Party 'will persist regardless of who prevails in May,' said the Australia BGI Report. Despite ranking 9th globally in GDP per capita, Australia ranks only 99th worldwide in the Economic Complexity Index (ECI). 'Its reliance on extractive industries has reduced the incentive to diversify and weakened other parts of the economy,' said the report. Iron ore, coal, petroleum, gold, and other minerals comprise the five largest products sold abroad, accounting for more than half of all exports. Instead of moving away from this reliance, 'Australia has in many ways doubled down.' And one of its biggest customers is China. During Elections Get campaign news, insight, analysis and commentary delivered to your inbox during Canada's 2025 election. While Australia is increasingly economically dependent on China, it's also long relied on the U.S. security guarantee. In the context of a growing U.S.-China rivalry, this puts Australia in a precarious position. Only with a more complex economy, the report said, 'can Australia ensure future growth and reduce vulnerability to foreign powers like China and the U.S.' ———————————————- This text and the accompanying material (photos and graphics) are an offer from the Democracy News Alliance, a close co-operation between Agence France-Presse (AFP, France), Agenzia Nazionale Stampa Associata (ANSA, Italy), The Canadian Press (CP, Canada), Deutsche Presse-Agentur (dpa, Germany) and PA Media (PA, UK). All recipients can use this material without the need for a separate subscription agreement with one or more of the participating agencies. This includes the recipient's right to publish the material in own products. The DNA content is an independent journalistic service that operates separately from the other services of the participating agencies. It is produced by editorial units that are not involved in the production of the agencies' main news services. Nevertheless, the editorial standards of the agencies and their assurance of completely independent, impartial and unbiased reporting also apply here.
Associated Press
25-04-2025
- Business
- Associated Press
Australia's next government must mend structural cracks appearing in its political, economic and social foundation, report finds
Australia boasts some of the world's most sophisticated political institutions and one of its wealthiest economies. But this veneer of success masks deeper structural issues - and a 'ticking time bomb' of overreliance on extractive industries must be addressed under Australia's next government, a new report recommends. Cracks have begun to show in the country's façade of optimism, prosperity and progress, according to anAustralia BGI Reporton the country's governance performance, released eight days before the May 3 election. According to the report, the country's economy continues to rely heavily on environmentally harmful extractive industries, while economic centralization in only a handful of cities has driven up housing costs. Racial tensions, including the displacement of Indigenous populations, remain unresolved. This is resulting in 'rising political polarization, deepening inequality and heightening exposure to the deeper geopolitical tensions emerging between the U.S. and China,' said the report. Based on theBerggruen Governance Index(BGI), the report was conducted by researchers from the Los Angeles-based Berggruen Institute think tank, the Luskin School of Public Affairs at the University of California Los Angeles (UCLA) and the Hertie School, a German university. According to the report, Australia has long benefited from favourable economic, geopolitical and demographic conditions. Its cities are ranked as some of the most livable in the world and it scores highly on almost all governance measures in the BGI, which analyzes the relationship between democratic accountability, state capacity and the provision of public goods. But the country isn't exempt from the same challenges to democracy, prosperity, and social cohesion that similar countries are facing, according to the report. Eroding public trust in government is providing 'the backdrop for a hotly contested federal election,' during which the centre-left Labor Party under Prime Minister Anthony Albanese is seeking to defend its majority against Opposition Leader Peter Dutton and the centre-right Liberals. While the Labor Party was previously projected to lose after a lacklustre post-pandemic economic recovery, it has recently risen in the polls - a reversal mirroring a similar trend in Canada, in which U.S. President Donald Trump has amplified negative associations with conservatism. Now, the Australian Labor Party is projected to win by a slim margin. Another factor influencing the election is rental affordability, which reached its worst level on record in 2025,according to the REA Group, a company in the real estate industry. This trend is pushing younger voters toward the Australian Green Party, which has made reform on the housing market a central part of its policy agenda, the Australia BGI Report said. However, in the 2022 election, 12 per cent of the national vote translated into just 2.5 per cent of seats for the Greens - a pattern that 'could repeat itself in 2025 due to the country's preferential voting system.' Australia's electoral system uses a preferential voting system rather than the 'first-past-the-post' method common in many other Anglophone democracies, which conceals a 'darker history of Indigenous dispossession and racial discrimination.' It's also one of only 22 countries in the world that require citizens to vote. However, the stresses that have plagued Albanese's government 'will persist regardless of who prevails in May,' said the BGI report. Australia generally resembles wealthy Western European and North American countries on the 2024 Berggruen Governance Index, scoring highly on democratic accountability. It's ranked as one of only 25 'full democracies' by the Economist Intelligence Unit. But, despite ranking 9th globally in GDP per capita, Australia ranks only 99th worldwide in the Economic Complexity Index (ECI). 'Although Australia is blessed with bountiful natural resources, its political economy is also constrained by this very endowment,' said the Australia BGI Report. 'Its reliance on extractive industries has reduced the incentive to diversify and weakened other parts of the economy.' Iron ore, coal, petroleum, gold, and other minerals comprise the five largest products sold abroad, accounting for more than half of all exports. Instead of moving away from this reliance, 'Australia has in many ways doubled down,' said the report. Australia is the world's largest coal exporter and accounts for more than half of the world's lithium, with most of it going to China for battery manufacturing. Therein lies another issue. While Australia is increasingly economically dependent on China, it has also long relied on the U.S. security guarantee. In the context of a growing U.S.-China rivalry, this puts Australia in a precarious position, said the report, being 'economically tethered to one superpower, while militarily aligned with another.' To move past these problems, Australia will have to 'leverage its impressive state capacity and strong educational system to develop a more advanced services sector and more complex manufacturing,' said the Australia BGI Report. The next government will need to focus on the 'domestic essentials of growth' such as housing market reforms, as well as building economic complexity, to ensure internal and external stability, the report's researchers conclude. Only with a more complex economy 'can Australia ensure future growth and reduce vulnerability to foreign powers like China and the U.S.' ---------------------------------------------- This text and the accompanying material (photos and graphics) are an offer from the Democracy News Alliance, a close co-operation between Agence France-Presse (AFP, France), Agenzia Nazionale Stampa Associata (ANSA, Italy), The Canadian Press (CP, Canada), Deutsche Presse-Agentur (dpa, Germany) and PA Media (PA, UK). All recipients can use this material without the need for a separate subscription agreement with one or more of the participating agencies. This includes the recipient's right to publish the material in own products.
Winnipeg Free Press
24-04-2025
- Business
- Winnipeg Free Press
Australia's next government must mend structural cracks appearing in its political, economic and social foundation, report finds
Los Angeles/DNA – Australia boasts some of the world's most sophisticated political institutions and one of its wealthiest economies. But this veneer of success masks deeper structural issues — and a 'ticking time bomb' of overreliance on extractive industries must be addressed under Australia's next government, a new report recommends. Cracks have begun to show in the country's façade of optimism, prosperity and progress, according to an Australia BGI Report on the country's governance performance, released eight days before the May 3 election. According to the report, the country's economy continues to rely heavily on environmentally harmful extractive industries, while economic centralization in only a handful of cities has driven up housing costs. Racial tensions, including the displacement of Indigenous populations, remain unresolved. This is resulting in 'rising political polarization, deepening inequality and heightening exposure to the deeper geopolitical tensions emerging between the U.S. and China,' said the report. Based on the Berggruen Governance Index (BGI), the report was conducted by researchers from the Los Angeles-based Berggruen Institute think tank, the Luskin School of Public Affairs at the University of California Los Angeles (UCLA) and the Hertie School, a German university. According to the report, Australia has long benefited from favourable economic, geopolitical and demographic conditions. Its cities are ranked as some of the most livable in the world and it scores highly on almost all governance measures in the BGI, which analyzes the relationship between democratic accountability, state capacity and the provision of public goods. But the country isn't exempt from the same challenges to democracy, prosperity and social cohesion that similar countries are facing, according to the report. Eroding public trust in government is providing 'the backdrop for a hotly contested federal election,' during which the centre-left Labor Party under Prime Minister Anthony Albanese is seeking to defend its majority against Opposition Leader Peter Dutton and the centre-right Liberals. While the Labor Party was previously projected to lose after a lacklustre post-pandemic economic recovery, it has recently risen in the polls — a reversal mirroring a similar trend in Canada, in which U.S. President Donald Trump has amplified negative associations with conservatism. Now, the Australian Labor Party is projected to win by a slim margin. Another factor influencing the election is rental affordability, which reached its worst level on record in 2025, according to the REA Group, a company in the real estate industry. This trend is pushing younger voters toward the Australian Green Party, which has made reform on the housing market a central part of its policy agenda, the Australia BGI Report said. However, in the 2022 election, 12 per cent of the national vote translated into just 2.5 per cent of seats for the Greens — a pattern that 'could repeat itself in 2025 due to the country's preferential voting system.' Australia's electoral system uses a preferential voting system rather than the 'first-past-the-post' method common in many other Anglophone democracies, which conceals a 'darker history of Indigenous dispossession and racial discrimination.' It's also one of only 22 countries in the world that require citizens to vote. However, the stresses that have plagued Albanese's government 'will persist regardless of who prevails in May,' said the BGI report. Australia generally resembles wealthy Western European and North American countries on the 2024 Berggruen Governance Index, scoring highly on democratic accountability. It's ranked as one of only 25 'full democracies' by the Economist Intelligence Unit. But, despite ranking 9th globally in GDP per capita, Australia ranks only 99th worldwide in the Economic Complexity Index (ECI). 'Although Australia is blessed with bountiful natural resources, its political economy is also constrained by this very endowment,' said the Australia BGI Report. 'Its reliance on extractive industries has reduced the incentive to diversify and weakened other parts of the economy.' Iron ore, coal, petroleum, gold and other minerals comprise the five largest products sold abroad, accounting for more than half of all exports. Instead of moving away from this reliance, 'Australia has in many ways doubled down,' said the report. Australia is the world's largest coal exporter and accounts for more than half of the world's lithium, with most of it going to China for battery manufacturing. Therein lies another issue. While Australia is increasingly economically dependent on China, it's also long relied on the U.S. security guarantee. In the context of a growing U.S.-China rivalry, this puts Australia in a precarious position, said the report, being 'economically tethered to one superpower, while militarily aligned with another.' During Elections Get campaign news, insight, analysis and commentary delivered to your inbox during Canada's 2025 election. To move past these problems, Australia will have to 'leverage its impressive state capacity and strong educational system to develop a more advanced services sector and more complex manufacturing,' said the Australia BGI Report. The next government will need to focus on the 'domestic essentials of growth' such as housing market reforms, as well as building economic complexity, to ensure internal and external stability, the report's researchers conclude. Only with a more complex economy 'can Australia ensure future growth and reduce vulnerability to foreign powers like China and the U.S.' ———————————————- This text and the accompanying material (photos and graphics) are an offer from the Democracy News Alliance, a close co-operation between Agence France-Presse (AFP, France), Agenzia Nazionale Stampa Associata (ANSA, Italy), The Canadian Press (CP, Canada), Deutsche Presse-Agentur (dpa, Germany) and PA Media (PA, UK). All recipients can use this material without the need for a separate subscription agreement with one or more of the participating agencies. This includes the recipient's right to publish the material in own products. The DNA content is an independent journalistic service that operates separately from the other services of the participating agencies. It is produced by editorial units that are not involved in the production of the agencies' main news services. Nevertheless, the editorial standards of the agencies and their assurance of completely independent, impartial and unbiased reporting also apply here.
Associated Press
17-04-2025
- Business
- Associated Press
Canada must reduce reliance on extractive industries and U.S. exports, report finds
From dissatisfaction with the Trudeau government to dissatisfaction with Trump's policies — compounded by general anxiety around tariffs, the economy and a deteriorating relationship with the U.S. — navigating an economic downturn should be an immediate priority for Canada as it heads into a federal election, a new report recommends. In the long-term, however, it says Canada will need greater economic diversification and regional representation. 'Although it is wealthy by global standards, Canada's economy faces key vulnerabilities such as excessive reliance on extractive industries, shortages of critical goods like housing and heavy dependence on exports to the U.S.,' states aCanada BGI Reporton the country's governance performance, released a little more than ten days before the April 28 federal election. The report, based on theBerggruen Governance Index (BGI), was conducted by researchers from the Los Angeles-based Berggruen Institute think tank, the Luskin School of Public Affairs at the University of California Los Angeles (UCLA) and the Hertie School, a German university. Currently, Canada ranks only 48th on the Economic Complexity Index. 'Given its wealth, this is a disproportionately low figure and increasing it should be a top priority,' said the report. The Berggruen Governance Index (BGI) Project analyzes the relationship between democratic accountability, state capacity and the provision of public goods to develop a deeper understanding of how governments can create a more resilient future for their people. While Canada scores highly on most measures of the BGI, the report found that Canada's performance 'has been uneven over the last decade' and for many years has failed to address systemic problems. These problems, however, have been overshadowed by U.S. President Donald Trump. Until recently, analysts predicted a landslide victory for the Conservatives under Pierre Poilievre, since the Liberals, under former Prime Minister Justin Trudeau, had become deeply unpopular over numerous policy decisions, including immigration. But the Liberals have 'experienced one of the most dramatic electoral turnarounds in recent political history,' according to the Canada BGI Report, attributing the ascension of Trump to the U.S. presidency in January 2025 to this reversal of fortunes. This reversal also coincided with the resignation of Trudeau and the selection of former Bank of Canada and Bank of England Governor Mark Carney as the new Liberal leader. 'Repeated threats of tariffs and even territorial annexation provoked outrage among Canadians and ignited a surge in patriotic sentiment, to which Poilievre's defeatist 'Canada is broken' rhetoric was particularly ill-suited,' the researchers wrote. Carney has rallied Canadians around national unity — and managed to solidify a poll swing back to the Liberals. What seemed like an inevitable win for the Conservatives just a few months ago has become a close race to the finish line. While the Canada BGI Report found that Carney's vision of 'One Canadian Economy' appears to be a politically successful response to the crises Canada faces from the U.S., in the long-run Canada will need to contend with 'persistent economic tensions' and 'overcome governance challenges that predate both Trump and Trudeau', the report said. The BGI scores for state capacity and democratic accountability 'trail those of many Western European peers,' according to the report, with institutional accountability falling by seven points from 2000 to 2021. This indicates disillusionment with Canada's institutions; researchers found that public trust in government steadily declined throughout the 2010s. 'Coupled with eroding faith in democratic institutions and lingering regional tensions, the previous unpopularity of Trudeau's Liberals appears to reflect systemic issues rather than an anomaly,' according to the Canada BGI Report. A major flashpoint for Canadians is immigration. Canada has long been a supporter of greater immigration but, by 2024, public sentiment had shifted — helping to propel the Conservatives to the top of the polls. Canada's international migration surged 15-fold under Trudeau — with the aim of meeting the country's current labour shortage — but Ottawa started coming under fire for housing inflation. Canada has one of the highest housing price-to-income ratios in the developed world, according to the OECD. One reason is stagnant homebuilding, with the number of dwellings per 1,000 residents far below the G7 standard. With homeownership rates declining, that has led to increasing backlash toward immigrants and newcomers. Canada has also struggled with excessive reliance on extractive industries and heavy dependence on exports to the U.S. With current tensions between Canada and the U.S., 'reliance on both oil and exports remains a major feature of the country's economy and has recently been exposed as a geoeconomic vulnerability,' according to the researchers. However, the persistent challenges of regional representation and limited state capacity 'will make it increasingly challenging to enact far-reaching plans for economic integration and greater political sovereignty.' The report said that addressing these challenges will require investments in state capacity, economic diversification — both sectorally and geographically — and building greater democratic legitimacy through regional inclusion. Researchers recommend the next government 'complete Trudeau's unfinished goal of introducing a proportional representation system' that includes greater geographic representation and inclusion of First Nations peoples, which will be 'critical for increasing legitimacy and national unity.' Polls now project a Liberal majority in the House of Commons. ---------------------------------------------- This text and the accompanying material (photos and graphics) are an offer from the Democracy News Alliance, a close co-operation between Agence France-Presse (AFP, France), Agenzia Nazionale Stampa Associata (ANSA, Italy), The Canadian Press (CP, Canada), Deutsche Presse-Agentur (dpa, Germany) and PA Media (PA, UK). All recipients can use this material without the need for a separate subscription agreement with one or more of the participating agencies. This includes the recipient's right to publish the material in own products.
Yahoo
10-04-2025
- Politics
- Yahoo
Mathews: A new tool helps Californians engage with their government
In this dark American moment, California has turned on a small democratic light. It's called Engaged California. It's an online, nonpartisan tool for Californians to deliberate with one another and engage their government. When you sign up with your email, pledge to behave with civility, and answer questions about your thoughts on the L.A. fires, it might feel like just another online survey. But it is a big deal. Because the U.S., and California, have done little to encourage deliberative democracy, especially online. Which means that Engaged California could launch a new era in which everyday people determine public policy themselves. Before I continue, I should disclose that, since last year, I've been an unpaid advisor to the Engaged California. My role was to join Zoom calls, ask questions, connect my fellow advisors and state workers designing the tool to world experts in digital and deliberative democracy. I confess that, even while advising the project, I didn't think it would ever be used by the public. I was pessimistic even though, as an advisor, I was working with very smart people at the Carnegie Endowment's California program and at the Berggruen Institute, where I'm a fellow in the Renovating Democracy program. My profound pessimism was based on two decades of personal failure. Since 2006, I've written columns and convened events to convince Californians to adopt the best democratic practices and innovations from around the world. Many of the tools I've encountered — from Tokyo to Munich — allow students to participate in, deliberate on, or directly decide difficult questions, often online. Such tools should have been popular here in California, which struggles with governance but is a global leader in digital commerce. But local and state governments ignored my suggestions. So, I concluded that Californians were too arrogant and contented to embrace novel democratic process. Last month, California proved me wrong — by debuting Engaged California. How did it happen? My fellow advisors (led by Audrey Tang of Taiwan) were brilliant. The state of the world's democracies created a sense of urgency. But the real revelations were the skill and determined of the staff of the state's Office of Data and Innovation. These state workers absorbed as much about deliberative democracy in six months as I managed in a decade of reporting. And they were patient as government higher-ups moved around deadlines, and changed the subject of the first deliberation in January, from social media rules for the young to the L.A. fires. The March launch of Engaged California was historic. California is the first state to make such a digital, deliberative tool available. It's also the largest jurisdiction in the world to do so. Engaged California is still a small pilot, but more than 7,000 people have signed up for it. I'm more hopeful for what might come next. Planning for the tool's future phases is still in its early stages. I'm hoping that Engaged California will be used to create small-group meetings or a full-scale citizens assembly, with Californians chosen by lot to deliberate on specific questions. Conceivably, such an assembly could produce recommendations that could be implemented, perhaps by regulation, law, or even ballot measure. There's no guarantee that these future phases will happen. And this project has another thorny challenge. Engaged California wouldn't be happening now without the support of Gov. Gavin Newsom — who wrote a book about such democratic models. But Engaged California won't survive as a project of one politician. For Engaged California to succeed, you and I will have to participate in it, give feedback, and urge that it develop in response to such input. Around the world, the democratic tools that last — like Madrid's CONSUL or Barcelona's Decidim — are monitored closely by everyday citizens. This little democratic light of ours will keep shining only if we overcome today's dark pessimism and embrace such democratic tools as our own. Joe Mathews writes the Connecting California column for Zócalo Public Square. This article originally appeared on Ventura County Star: Mathews: The new tool called Engaged California
