1.It has been reported in the media that Australia currently operates as a "2 Speed economy". Do you agree with this? Justify your answer by collecting and presenting data on any 3 Australian States.

2.Explain the difference between real GDP and real GDP per person (or per capita). Which is a better measure of long term growth? Why?

3. Long term growth is influenced by government policies and in Australia the micro economic reforms undertaken throughout the 1980s and 1990s have had a significant impact on Australia's long term growth. Reforms included the deregulation of the financial system, decreased tariffs on imported goods and tax reforms. Using an AD/AS diagram, explain and illustrate the likely impact of one policy reform on the growth of the Australian economy. (There is no need to qualify the actual impact).