Information design, cognitive abilities and macro-economic stability. This project aims to improve our understanding of individual decision making in financial markets and its implications for macro-economic stability. Using laboratory and internet experiments, models of adaptive choice behaviour will be developed and validated. The project will help to gain insight into how past information, and the way it is presented, affects investment decisions, which individual characteristics matter for d ....Information design, cognitive abilities and macro-economic stability. This project aims to improve our understanding of individual decision making in financial markets and its implications for macro-economic stability. Using laboratory and internet experiments, models of adaptive choice behaviour will be developed and validated. The project will help to gain insight into how past information, and the way it is presented, affects investment decisions, which individual characteristics matter for decisions, and how this behaviour translates into the evolution of aggregate macro-economic variables. The expected outcomes of the project will have the potential to improve the design of tools for better individual financial decision making, to stabilize volatile markets and to enhance economic welfare.Read moreRead less
Endgame: managing superannuation in later life. This project aims to come up with strategies for improving superannuation advice for the elderly - including retirees, and also those on the cusp of retirement, who often have little or no scope for working harder or longer to restore their finances. It applies recent developments in financial economics to improve the quality of financial planning advice.
Understanding and overcoming confusion in consumer financial decisions. This project aims to develop consumer-centred approaches to reducing the harmful effects of confusion in financial decisions by studying superannuation investment and home loan decisions where confused choices are individually and collectively costly. The project intends to develop comprehensive models to capture the full complexity of financial products and the diverse preferences and capability of consumers, then to use ad ....Understanding and overcoming confusion in consumer financial decisions. This project aims to develop consumer-centred approaches to reducing the harmful effects of confusion in financial decisions by studying superannuation investment and home loan decisions where confused choices are individually and collectively costly. The project intends to develop comprehensive models to capture the full complexity of financial products and the diverse preferences and capability of consumers, then to use advanced statistical methods to estimate the benefits of clearer decision-making. The outcomes of this project includes new models of complex financial decisions, and a better understanding of where confusion arises and the effects it may have. Decreased confusion will raise financial well-being and help communities become more resilient to financial shocks.Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE130100967
Funder
Australian Research Council
Funding Amount
$375,000.00
Summary
Understanding the effects of sovereign default risk on economic fluctuations in open economies. The recent financial crisis has shown that the possibility of sovereign default is no longer an exclusive feature of developing countries. This project incorporates default risk into structural modeling of how foreign disturbances affect the domestic economy. Our results will aid in developing policy responses to adverse macroeconomic events.
Fiscal policy and unemployment in an open economy. This project aims to improve our understanding of the impact of commodity price changes. Over the past two decades, Australia has experienced unprecedented fluctuations in commodity prices. The fiscal position and potential of the economy depends on the extent to which commodity price changes are temporary or permanent. This project will uncover empirical regularities between commodity prices, unemployment across sectors and measures of fiscal p ....Fiscal policy and unemployment in an open economy. This project aims to improve our understanding of the impact of commodity price changes. Over the past two decades, Australia has experienced unprecedented fluctuations in commodity prices. The fiscal position and potential of the economy depends on the extent to which commodity price changes are temporary or permanent. This project will uncover empirical regularities between commodity prices, unemployment across sectors and measures of fiscal policy. The project will build structural models of unemployment which will be estimated and used to assess implications for unemployment and budget deficits of commodity price shocks and to study the optimal design of fiscal policy. The project will benefit the conduct of economic policy in Australia.Read moreRead less