Australia goes 25 years without recession

That's not entirely accurate. Australia has experienced several recessions since its economy began to grow in the late 19th century. According to the Reserve Bank of Australia, Australia has had 11 recessions since 1891.

However, it's true that Australia has had a remarkable period of economic growth and stability since the early 1990s. The country has not experienced a recession since 1991, which is a record for a developed economy.

There are several reasons that have contributed to Australia's economic resilience, including:

  1. Diversified economy: Australia has a diverse economy with a strong services sector, a significant mining industry, and a growing technology sector. This diversification has helped to reduce the country's reliance on any one industry or sector.
  2. Strong institutions: Australia has a stable and effective institutional framework, including a strong central bank, a well-regulated financial system, and a transparent and accountable government.
  3. Sound macroeconomic policies: The Australian government has implemented sound macroeconomic policies, including fiscal discipline, low inflation, and a flexible exchange rate. These policies have helped to maintain economic stability and promote growth.
  4. Natural resources: Australia is rich in natural resources, including coal, iron ore, and gold. The country's mining industry has been a significant contributor to its economic growth and has helped to drive exports.
  5. Investment in infrastructure: The Australian government has invested heavily in infrastructure, including transportation networks, energy generation, and telecommunications. This investment has helped to improve the country's productivity and competitiveness.

While Australia has not experienced a recession in 25 years, it's not immune to economic shocks. The country has faced several challenges in recent years, including the global financial crisis, the decline in commodity prices, and the impact of the COVID-19 pandemic. However, its strong institutions, diversified economy, and sound macroeconomic policies have helped it to navigate these challenges and maintain its economic stability.