Leakage of employment income is a pressing issue in the economic development of regional and remote communities. It can draw income away from regional economies but also inject new revenue from outside. Using Australian Bureau of Statistics 2011 census employment data by place of usual residence and place of work, we identify for all 17 Local Government Areas (LGAs) of the Northern Territory (NT), workers commuting out of and into each LGA. Using summary graphs and geospatial visualizations we find that while there is substantial leakage out of most LGAs there are also gains from those leaving an LGA to work and then returning home with their income. Overall, for most LGAs and all remote LGAs there is net leakage. In contrast, Wagait, Palmerston, Litchfield and Alice Springs experience net gains from work commuting. Core-Periphery staples theory (Carson 2011) helps explain these net gaining LGAs, but cannot be used to consistently explain net leakage or net gain for population centers and nearby periphery LGAs. Darwin, including parts of Unincorporated NT, together act as a net leakage core to surrounding commuter LGAs such as Palmerston, Litchfield and Wagait. Katherine also acts as a net leakage core for surrounding peripheral LGAs despite receiving some offsetting employment income gains through mining. In addition to Katherine, Mining and the supporting Construction industry are also delivering net employment income gains to the core centers of Darwin, Palmerston, and Litchfield from periphery and typically remote LGAs. For remote mining commuters, these core centers offer preferred places to live. In contrast to Darwin and Katherine, Alice Springs acts as an employment income sink drawing on net employment gains from periphery remote LGAs. Our geospatial visualizations also help to identify the leakage vulnerability of remote LGAs dependent on mining like Central Desert and East Arnhem. Of all the remote LGAs, East Arnhem has the highest average net leakage of income across the most diversified distribution of industries, primarily derived from mining and its supporting construction and upstream manufacturing industries. Combined, these factors make East Arnhem particularly vulnerable to mining related downturns. Also, Alice Springs and Coomalie are highly vulnerable to commuting in Business Services and Public and Personal Services respectively. However, these vulnerabilities also cloak hidden flexibilities to deal with job losses during downturns. Undertaking our analysis for a number of census years could help decision makers build scenarios for future economic development and employment.
This paper uses economic-base theory and input-output modelling to examine the structure of a regional rural economy in New South Wales, Australia, drawing important policy implications for economic planners. The most salient trend has been a shift in the area's dependence from agriculture to mining over the recent decade. However, the level of diversity of the region's industrial composition has altered very little. Mining is also contributing to significant net leakage of employment income from the region. Mining should therefore not necessarily be considered as the key future opportunity for economic development. Instead, a number of industry sectors, particularly those that foster innovation and technology, can be harnessed to drive future regional growth. In addition, a tourism marketing strategy promoting the region's food, wine and other distinctive attributes should play an integral role in future development planning. These prescriptions are highly transferable to similar rural economies experiencing a shift to mining.
Industry and government bodies have recommended augmentation of traditional production and marketing techniques as ways of increasing an industry's profitability. This paper values the amenity of the wine industry, a sensory experience that provides an array of opportunities both culturally to the tourist and economically to many regions across the world. Using the wine industry in the Central West region of New South Wales, Australia we use Input-Output analysis to assess the economic impacts of this industry and the amenity hidden within. Not only does the industry provide jobs and commerce supporting local prosperity, it also supplies a mixed production and consumption amenity from an agricultural product that meets the tourist's leisure desirean amenity that transcends from its origin in the vineyard to its destination at the table.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
hi@scite.ai
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.