Question

An assessment of the economic impact of COVID 19 on the Australian economy – an International Macroeconomic perspective.

Exchange rate determination in the short run and the long run - What can theory tell us about current and likely future changes in the value of AUD

Answer 1

Australian economy is one of the economies which is badly affected due to the pandemic covid-19.

An average of 20000 people's had became jobless due to the effect. The value of Australian dollar had been severly fall down due to the pandemic disease. A severe shortage of face masks had been faced by the country beacuse of the large number of foreign and domestic purchasers of these masks. The tourism department of Australia had stated that an average of 4.5 billion shortage may be faced due to the spic situation. The earning from the casino systems had also fell down.

The mining companies had also faced a great problems in the operation and working fields due to the outbreak of covid-19. The agricultural sectors like fishing, dairy, meat and wine production companies also faced a severe loss.

The export of products from the Australian economy to other nations is also affected badly. China stops importing goods from Australia due to the pandemic disease. The educational sector is also likely to effect badly due to the refunding of tuition fees and accommodation fees of the students.

The value of australian dollar is very weak at the current days and this is most weakest level since the the financial crisis that had occured in 2009.

The reports suggest that will keep on decreasing in the value of Australian dollar if this pandemic situation goes on.

Thanks!..