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Governing the City State - Chief Minister and Treasury Directorate ...

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EconomyTable 2 provides a snapshot of economic indicators for <strong>the</strong> ACT in 1988 <strong>and</strong> 2009.Table 2 - Canberra in 1988 <strong>and</strong> 2009Dec-88Dec-09Estimated resident population 274,105 355,311Labour force 201,991 284,571Unemployment rate (%) 4.9 3.7Participation rate (%) 72.2 72.9<strong>State</strong> Final Dem<strong>and</strong> - chain volume measure ($ million) 4,136 11,199The ACT has a strong <strong>and</strong> dynamic economy: over <strong>the</strong> past 20 years <strong>the</strong> ACT’s realGross <strong>State</strong> Product per person has grown by an average of two per cent per annum.Substantial improvements in labour productivity have been a key driver of this growth.Figure 6 shows a breakdown of <strong>the</strong> ACT’s Gross <strong>State</strong> Product, which demonstrates <strong>the</strong>extent to which <strong>the</strong> economy is influenced by <strong>the</strong> activities of <strong>the</strong> CommonwealthGovernment, <strong>and</strong> to a lesser extent <strong>the</strong> ACT Government: <strong>the</strong> Public administration <strong>and</strong>safety sector represents 32% of Gross <strong>State</strong> Product. In June 2010, ACT Governmentconsumption <strong>and</strong> investment represented around 7.5% of total economic activity in <strong>the</strong> ACT.Figure 6 - Share of ACT Gross <strong>State</strong> Product (Industry value-added), June 2009 2222 Australian Bureau of Statistics (2009) Australian National Accounts: <strong>State</strong> Accounts – Table 9. Expenditure, Income <strong>and</strong>Industry Components of Gross <strong>State</strong> Product, Australian Capital Territory, Chain volume measure <strong>and</strong> current prices,December 2009 (Cat. No. 5220.0)Context for <strong>the</strong> Review: 38

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