Brisbane Economic Development Plan foreshadows public wi-fi expansion

The new Brisbane Economic Development Plan 2012-2031 says all the right things about wanting to make Brisbane more innovative and creative, attracting the best and brightest and streamlining council processes. It contains at least one really good idea, that of expanding the public wi-fi program (currently in New Farm Park and the Botanic Gardens) to other parks and public transport, which would probably boost flagging patronage on CityCats and Council buses.

I did find one thing in the Plan peculiar, however: the bizarre claim that has been picked up in the media that:

For every direct job created in mining, a further 19 jobs are created across greater Brisbane in the services that support the mining industry and its workers.

I think a decimal point has gone missing, as it is totally implausible that there would be 19 indirect jobs associated with every new mining job. According to the ABS Labour Force data, employment in the Queensland mining sector grew by 6,000 persons in the year to November 2011 (to a level of 59,000 persons). If 19 jobs are indirectly created in Greater Brisbane for every new mining job then (all else equal) employment in greater Brisbane should have increased by 114,000 employed persons (i.e. around 10% growth in employment in one year), compared with actual growth in the 12 months to November 2011 of 12,800. Hence, in my opinion, the claim is totally implausible.

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5 Responses to Brisbane Economic Development Plan foreshadows public wi-fi expansion

  1. Jen's avatar Jen says:

    Perhaps it is wishful thinking, but I expect you are right – it is an error that wasn’t picked up when the document was proofed.

  2. KS's avatar KS says:

    I think the mining industry claim a total multilier of 3 jobs for every mining job. An interesting quote from David Gruen before Senate estimates this week:
    ”In a well-functioning economy like ours, with unemployment close to its lowest sustainable rate, it is not the case that individual industries are creating jobs, they are simply re-distributing them … there really isn’t a multiplier.”

  3. KS's avatar KS says:

    Discovered this quote from Lord Mayor Quirk which seems to imply its not a specific mining multiplier but what is required to meet the objectives of the plan:
    “For every job that is created in mining there are another 19 jobs that need to come on line.”
    http://www.businessspectator.com.au/bs.nsf/Article/Plan-aims-to-double-Brisbane-economy-RG46Y?OpenDocument&src=rab

  4. Pingback: Resources sector jobs multiplier | Queensland Economy Watch

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