The Economic Contribution of the Resources Sector by Regional Areas in Queensland

Although it is widely accepted that the resources sector makes a significant contribution to national and state economies, information about how it impacts on local and regional economies is much scarcer. Understanding the spread of economic stimulus and subsequent indirect business and consumption effects is important because of the changing patterns of business operations, employment and supply chains in the resources sector. The focus of the research reported in this paper was to identify the geographical spread of economic impacts from the resources sector across Queensland. The results of the analysis demonstrate that incomes and expenditures from the resources sectors are widely distributed across the state, and generate significant flow-on effects. It is notable that the industry makes a strong direct contribution in many of the more remote areas of Queensland, helping to underpin economic conditions in those regions. Expenditure from the resources industry has indirect impacts on the business environment in many areas, and generates substantial levels of production in south-east Queensland and central Queensland in particular.