5C. Earth's little secret:

I have focused on Australia thus far to continue along a branch of urban-development. Australia is a system that will experience growth and technological innovation comparable to North America. While there are limitations to this projection due to Australia’s unique environment (political, environmental, and geographic) and generation gap, one aspect that will be strikingly similar is the importance of and developmental relationships between multiple coasts. I have thus far focused on the Pacific Rim, but now let us shift to Earth’s little secret, the Indian Ocean.

Already in Australia, the Indian Ocean facing state of Western Australia has grown into a national focal point. This surprised a nation that traditionally considered Perth to be boring, isolated, and backwards. Over the last 10-15 years, Australia has experienced an economic boom resulting in the emergence of Perth as the most expensive city in Australia (Real Estate Institute of Australia). Western Australia accounts for over 30% of export revenues, 12.3% of Australian GDP, its Gross State Product (GSP) continues to be high, and in June 2006 it ranked first in population growth at 2%. What is striking about these statistics is the fact that Western Australia only accounts for about 10% of Australia’s population.

Table 4: Australian GSP and GDP, courtesy of ACT Department of Treasury, Economics Branch.

Table 3 presents just a sample of plentiful data demonstrating Western Australia’s accelerating growth rate. Today Perth is competitive with east coast cities that were leaps and bounds ahead twenty years ago. From the perspective of cities, Perth’s trajectory makes sense as it is the only major city on the west coast of a booming nation. Perth experiences one of the lowest rates of competition in the world and rests upon an ocean of opportunity. These are the same circumstances that founded Philadelphia, San Francisco, and Sydney. As government officials in Western Australia plan for the future, it would be wise to consult historic economic data indicative of developmental trends experienced in 19th century California. For example, in what sectors did San Francisco experience the most growth in the mid 19th century and can we find equivalent sectors in today’s markets? Like other living organisms, cities undergo a set pattern of growth that is subject to the same gene/environment interaction our bodies underwent throughout the course of our development. For example, you may not be an exact copy of your parents, but compared to the rest of humanity, your parents are an excellent reference point relative to your physical development. For Perth, we can better shape projections when we consult the history of similar cities. Western Australia bears a striking resemblance to young California much in the same way I have suggested that Australia resembles a younger America. Both west coast states were established in isolation from the rest of their respective countries. Western Australia is a beautiful, untouched, and booming state. However historic Australian stereotypes rarely refer to these positive aspects. In recent times, attitudes towards the state have changed for the positive in light of media headline after headline highlighting an emerging economic powerhouse. California received similar national treatment in the early 1800s. Before the 1849 gold rush, California was an unorganized frontier, not taken very seriously by the more established, Philadelphia and Boston centered east coast. This changed in the mid 19th century with the discovery of gold and subsequent appearance of the west coast’s first large city; San Francisco. Today California is the most populous US state, experiencing some of the highest population growth rates. On its own, California is one of the largest economies in the world. It was not just mineral wealth that brought California to this place, although mineral discovery did create a solid foundation. California’s secret to success is strategic location, innovation and the establishment of trans-Pacific relationships. Specifically, San Francisco formed relationships throughout the Pacific Ocean region. These were relationships that offered opportunities east coast American cities could not touch and the same sort of international opportunities that allowed the east coast to establish itself. Future development in Perth that allows the economy to mature into an independent and autonomous national and global force will revolve around trans-Indian relationships.