Productivity Commission investigates Australia's adaptability

Published: 27th April 2017

The Productivity Commission has released an initial report on the adaptability of Australia’s regions following the mining investment boom, with the regions identified as least likely to adapt (12%) spread across both urban and regional/ remote areas of Australia.

The Transitioning Regional Economies interim report shows the potential for regions to adapt, concluding there is no single approach to economic transition and development across all regions.

The report found most resource regions are ‘continuing to grow and have relatively high adaptive capacity’.

“While incomes and house prices in some locations rose and then fell back in spectacular fashion, it appears that most mining regions are resilient, with a relatively high capacity to adapt to economic pressures,” Commissioner Paul Lindwall said.

“But remote and very remote regions, including Indigenous communities, and some locations in metropolitan areas, have a much lower capacity to adapt to change.”

Employment has grown over the past five years in around 80% of Australia’s regions. The Productivity Commission is now seeking submissions to inform their final report, due to be handed to the Australian Government in December 2017.