Yesterday we reported how the Harvard Kennedy School’s Center for International Development has ranked the Australian economy amongst the least sophisticated, with Harvard labelling Australia “rich, dumb and getting dumber”.
Today, a variety of mainstream Australian economists have addressed Harvard’s rankings, with some dismissing the findings and others showing concern. From The AFR:
“Complexity of exports is no necessary indicator of good terms of trade,” said Geoff Carmody, an Access Economics founder and former Treasury officer. “Trade is a path to riches if we can sell our exports at high prices and import others’ at low prices”…
