Sluggish Immigration Growth

According to an article written in Bloomberg Businessweek, New Zealand’s immigration growth has slowed for a second straight month. The author states that this is an indicator that New Zealand is not recovering from the economic recession as quickly as first expected. The number of permanent migrant arrivals was 20,973 which is a difference of 645 people from February numbers. Less immigrants combined with tight credit is leading to a lack of domestic demand. Furthermore, unemployment has increased to a 10-year high of 7.3%.

New Zealand’s dollar is also down, with it being equivalent to approximately $.70 U.S. However, short-term arrivals are up 1.1%. Unadjusted arrivals also increased by 7.4% which, according to the article, may have something to do with school vacations and the Easter break in the academic calendar. Furthermore, due to the fact that tourism accounts for 10% of New Zealand’s economy, a heavy emphasis has been put on New Zealand as a tourist destination. The emphasis put on tourism has helped somewhat in keeping people, and thus money, flowing into the country’s economy.

http://www.businessweek.com/news/2010-04-22/new-zealand-annual-immigration-fell-a-second-month-in-march.html

Is New Zealand's Economy Getting Better?

According to the Wall Street Journal's article, economists believe that New Zealand's economy is on the rise for the for the first time this year. After having one of the worst quarters ever the economy is pulling itself out of their recession. According to the article, New Zealand has never been five straight quarters of no growth this long since the 1970's where the economic problems came from the oil shock. The Gross Domestic Product has grown 0.8% in the last quarter since December 31. According to National Accounts manager Rachael Milicich the growth is coming from strong manufacturing from December 2009. So this shows hard work does pay off in the long run
The economists believe the boost in gross domestic product is coming from food, beverage and tobacco manufacturing. Also, the economy is suppose to be still growing by the end of the quarter. However, the only reason the gross domestic product is increasing slowing is because of the fishing and mining industry. Overall though the economy is doing much better because their is an increase in supply and demand. This is a good sign showing that at least some countries are pulling through these rough times.

Economic Uncertainty

The Global recession has decimated many parts of New Zealand’s economy. It has put people out of jobs and, many cases out of their homes as well. According to this article, some of the recent statistics suggest a recovery in New Zealand’s economic situation. Others, however, still show the grip of the recession holding tightly.

According to the article, production GDP rose 0.8% in December thanks, in large part, to manufacturing. Business confidence is also on the rise. Conversely, however, is a reported increase in unemployment, which is currently at a 10-year high of 7.3%. This, combined with increased household spending, is causing skepticism in regards to economic recovery. According to New Zealand’s treasury department, the countries GPD remains 2.1% below its peak, which occurred two years ago.
http://www.stuff.co.nz/business/market-data/3551540/Mixed-messages-in-data-Treasury

The answer is blowing in the wind

The Earth on which we all reside, is a large and unfathomably complex place. Gravity, Oxygen, water…all play a vital role in keeping our planet running smoothly. As this article explains, wind plays an increasingly important role in how efficiently the economic world functions by creating another crucial element: Energy. According to the New Zealand Wind Energy Association, wind energy accounted for 4.9% of all energy in the December quarter of 2009. This number is expected to increase to 20%. This increase in electricity will have a profound effect on New Zealand’s economy.
With free and reliable energy from a renewable resource, wind energy stands to lower the costs of energy bills to customers both nationally and worldwide. In this one area alone, one can only imagine how much money would be saved. Furthermore, wind energy creates virtually no pollution which saves the government from having to spend millions of dollars cleaning up rivers, lakes and streams from other less environmentally-friendly energy sources (i.e. nuclear, coal, etc.). Also, the utilization of wind energy would help the economy with the creation of many jobs. Some of the industries that would experience employment expansion as a result of wind energy would be Turbine suppliers, construction and engineering companies, and consultancy groups.
http://www.scoop.co.nz/stories/BU1003/S00773.htm