Solving and estimating dynamic models of strategic interaction. This project aims to investigate how firms interact with each other through time and how these interactions drive both the operation of, and value created in, economic markets. While recent theoretical models predominantly capture the complexity of these dynamic interactions, the methods for testing these models’ predictions against observed data do not. Instead, they are based on a range of simplifying assumptions that undermine th ....Solving and estimating dynamic models of strategic interaction. This project aims to investigate how firms interact with each other through time and how these interactions drive both the operation of, and value created in, economic markets. While recent theoretical models predominantly capture the complexity of these dynamic interactions, the methods for testing these models’ predictions against observed data do not. Instead, they are based on a range of simplifying assumptions that undermine the reliability of their analysis. This project will develop statistical and computational methods to better understand observed economic behaviour. By allowing the effects of proposed economic interventions and regulations ex ante, this project will support the development of more efficient and better-targeted policies in every area of the economy.Read moreRead less
Disclosure in patents, an economic analysis using computational linguistics. This project aims to analyse the disclosure of patents. To achieve economic growth, the patent system aims to provide incentives for research and development as well as to ensure knowledge is accessible as widely as possible. This project will explore and demonstrate the usefulness of computational linguistics in the economic analysis of disclosure in patents. In particular, the project will look at the role of readabi ....Disclosure in patents, an economic analysis using computational linguistics. This project aims to analyse the disclosure of patents. To achieve economic growth, the patent system aims to provide incentives for research and development as well as to ensure knowledge is accessible as widely as possible. This project will explore and demonstrate the usefulness of computational linguistics in the economic analysis of disclosure in patents. In particular, the project will look at the role of readability in the patent application and examination process. This will provide a strong potential to inform and improve patent examination processes and patent policy. Expected outcomes will enable society to achieve greater use of the knowledge embedded in the patent system, thereby contributing to higher economic growth.Read moreRead less
The relationship between firm innovation and performance and the role of the government. Productivity growth in Australia has plateaued. Although Federal and State Governments employ a range of different innovation policies designed to stimulate productivity growth, little is known about the effects these programs, and of innovation more generally, on firm performance. One reason why this relationship is unknown relates to the availability of firm-level data. This project, will take advantage of ....The relationship between firm innovation and performance and the role of the government. Productivity growth in Australia has plateaued. Although Federal and State Governments employ a range of different innovation policies designed to stimulate productivity growth, little is known about the effects these programs, and of innovation more generally, on firm performance. One reason why this relationship is unknown relates to the availability of firm-level data. This project, will take advantage of unique access to a dataset provided by the Australian Bureau of Statistics which enables us to observe the activities of every firm in Australia. Using these data and appropriate econometric techniques, the study will examine the effect of a range of government policies designed to stimulate innovation and productivity growth. Read moreRead less
Productivity Measurement, Drivers and Trends: A New Analytical Framework. Significant problems exist in the measurement of productivity and hence its understanding, impeding informed policy formulation. This project aims to advance new concepts and methods for productivity measurement that have the potential to improve policy and national welfare, with special attention to: productivity in the mining industry, which has been a particular problem for Australia; the increased holding of precaution ....Productivity Measurement, Drivers and Trends: A New Analytical Framework. Significant problems exist in the measurement of productivity and hence its understanding, impeding informed policy formulation. This project aims to advance new concepts and methods for productivity measurement that have the potential to improve policy and national welfare, with special attention to: productivity in the mining industry, which has been a particular problem for Australia; the increased holding of precautionary cash balances by firms during financial crises, representing underutilised resources; examination of firm productivity dynamics, without assuming the possibility of disappearing technology capability that is used in standard models; and a more realistic approach to capitalisation of research and development and other intangible investments.Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE160100104
Funder
Australian Research Council
Funding Amount
$372,000.00
Summary
Mechanism Design with Aftermarket Dynamics. This project aims to design optimal selling policies, allowing for aftermarket dynamics such as resale and inter-buyer competitions. The existence of an aftermarket greatly affects the optimal design of license auctions, procurement, franchising and the like. For instance, when market licenses are auctioned off, incumbent firms may compete fiercely for licenses they do not need simply to keep entrants out. Existing sales designs that overlook such bidd ....Mechanism Design with Aftermarket Dynamics. This project aims to design optimal selling policies, allowing for aftermarket dynamics such as resale and inter-buyer competitions. The existence of an aftermarket greatly affects the optimal design of license auctions, procurement, franchising and the like. For instance, when market licenses are auctioned off, incumbent firms may compete fiercely for licenses they do not need simply to keep entrants out. Existing sales designs that overlook such bidding incentives often underperform in practice. The project aims to examine informational policies that influence buyers’ activities to best suit the seller's objectives. It expects to help regulatory bodies to design more efficient license auctions, provide franchisors with more profitable strategies, and save taxpayers' money when procuring services.Read moreRead less
Automation and Income Inequality: Macroeconomic Policy Implications. The transition to wider use of robotics and artificial intelligence may eventually make our citizens better off, yet effects on domestic income and wealth inequality remain uncertain, depending strongly on general governance and macroeconomic policy regimes. This project would help clarify income inequality effects, both abroad and in Australia, through (i) new numerical theory from calibrated economic models at the global and ....Automation and Income Inequality: Macroeconomic Policy Implications. The transition to wider use of robotics and artificial intelligence may eventually make our citizens better off, yet effects on domestic income and wealth inequality remain uncertain, depending strongly on general governance and macroeconomic policy regimes. This project would help clarify income inequality effects, both abroad and in Australia, through (i) new numerical theory from calibrated economic models at the global and national levels; (ii) econometric testing of results from global and national data; (iii) the use of emerging insights to analyse economic policy responses and their global interaction as well as the implications for Australian economic policyRead moreRead less
Tertiary admissions: towards a healthier university system. The project aims to identify the demand for university places, quantify the gains from the Australian semi-centralised admissions system and propose measures to increase these gains. The effectiveness of any tertiary education system depends critically on the quality of the match between students and courses, with mismatches resulting in millions of dollars of wasted public resources and life dissatisfaction of graduates in occupations ....Tertiary admissions: towards a healthier university system. The project aims to identify the demand for university places, quantify the gains from the Australian semi-centralised admissions system and propose measures to increase these gains. The effectiveness of any tertiary education system depends critically on the quality of the match between students and courses, with mismatches resulting in millions of dollars of wasted public resources and life dissatisfaction of graduates in occupations misaligned with their interests. Using an Australian tertiary admissions dataset containing both student preferences and rankings of students by courses, the project aims to empirically assess the trade-off between the efficiency of a match, an equitable welfare distribution and equal access to higher education. It then plans to propose the best system to balance these objectives.Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE160101242
Funder
Australian Research Council
Funding Amount
$358,000.00
Summary
Market responses to behavioral consumer policy: Experimental study. This project aims to investigate the effectiveness of regulatory policies such as industry standards, optimal defaults and third-party comparison services in supporting consumer decision-making. In complex market environments, consumers often struggle to make good purchasing decisions and can be vulnerable to exploitation by firms. Understanding how regulatory consumer policy directly affects consumer decisions and the dynamic s ....Market responses to behavioral consumer policy: Experimental study. This project aims to investigate the effectiveness of regulatory policies such as industry standards, optimal defaults and third-party comparison services in supporting consumer decision-making. In complex market environments, consumers often struggle to make good purchasing decisions and can be vulnerable to exploitation by firms. Understanding how regulatory consumer policy directly affects consumer decisions and the dynamic strategies of participating firms is important to improve our markets, inform consumer policy and provide evidence-based policy recommendations. This is particularly important in the increasingly complex market domains such as health, insurance and household finance.Read moreRead less
Incomplete Information Models for Industrial Organisation. Mergers, acquisitions, and collusive conduct take place in imperfectly competitive environments where firms have incomplete information about others. Despite this, standard workhorse models for analyzing the associated competitive effects assume that firms have complete information and typically only accommodate imperfect competition on one side of the market. This project aims to remedy this deficiency by developing the economic theory ....Incomplete Information Models for Industrial Organisation. Mergers, acquisitions, and collusive conduct take place in imperfectly competitive environments where firms have incomplete information about others. Despite this, standard workhorse models for analyzing the associated competitive effects assume that firms have complete information and typically only accommodate imperfect competition on one side of the market. This project aims to remedy this deficiency by developing the economic theory and associated practical tools for the analysis of competitive effects in settings with incomplete information and market power on both sides. The project work will be presented at seminars and workshops around the globe to both academic audiences and to practitioners at competition authorities. Read moreRead less
Price Transparency, Search, and Collusion in Markets. Online search platforms and 'open data' policies are emerging to empower consumers with price information for decision-making in markets, yet also can enable collusive pricing. This project aims to study the competitive impact of search platforms by combining large, real-time datasets on firm pricing and consumer search with natural and field experiments. The project expects to facilitate the development of new models of collusion, consumer s ....Price Transparency, Search, and Collusion in Markets. Online search platforms and 'open data' policies are emerging to empower consumers with price information for decision-making in markets, yet also can enable collusive pricing. This project aims to study the competitive impact of search platforms by combining large, real-time datasets on firm pricing and consumer search with natural and field experiments. The project expects to facilitate the development of new models of collusion, consumer search, and platform adoption. This should yield substantial benefit by modernizing competition policy for the digital age through novel data-driven screens for collusion, and policies to encourage platform adoption and enable consumers’ use of data in decision-making to increase competition in markets.Read moreRead less