Welfare Economic Issues in the New Classical Economic Framework of Inframarginal Analysis (renewal application). The CIs have developed a framework analysing the classical but largely ignored problems of division of labour. The 2001-2 project extends the framework to examine welfare issues and public policies, including government encouragement of infrastructure, organisational effects of externality-corrective taxes, work ethics and the optimal working week. The proposed extension to this res ....Welfare Economic Issues in the New Classical Economic Framework of Inframarginal Analysis (renewal application). The CIs have developed a framework analysing the classical but largely ignored problems of division of labour. The 2001-2 project extends the framework to examine welfare issues and public policies, including government encouragement of infrastructure, organisational effects of externality-corrective taxes, work ethics and the optimal working week. The proposed extension to this research will address the more fundamental issue of the Pareto optimality of general equilibrium in the new framework and extend the existing analyses to be of more practical relevance with more immediate policy implications.Read moreRead less
Taxation, family policy and pension reform in an uncertain economy. The policies with which this research is concerned are central in determining the well being of millions of Australians in both current and future generations. It is important that these policies be debated and formulated on the basis of the best possible conceptual framework and with the most reliable possible quantitative assessments of their effects. It is also important that the policies concerned be considered jointly rathe ....Taxation, family policy and pension reform in an uncertain economy. The policies with which this research is concerned are central in determining the well being of millions of Australians in both current and future generations. It is important that these policies be debated and formulated on the basis of the best possible conceptual framework and with the most reliable possible quantitative assessments of their effects. It is also important that the policies concerned be considered jointly rather than in isolation from each other. The work will therefore directly assist policy makers in this area. Since it will be at the leading edge of current research, it will also benefit Australia's standing in the international research community.Read moreRead less
The Role of the Family in Facilitating the Human Capital and Labour Market Investments of Young Australians. A nation's future lies in its young people, and society as a whole must take part in ensuring that today's youth acquire the skills, experience, and training necessary not only to cope, but to thrive. The proposed research will make a substantial step forward in understanding how families make decisions about supporting their young adult children and how those decisions are shaped by Aust ....The Role of the Family in Facilitating the Human Capital and Labour Market Investments of Young Australians. A nation's future lies in its young people, and society as a whole must take part in ensuring that today's youth acquire the skills, experience, and training necessary not only to cope, but to thrive. The proposed research will make a substantial step forward in understanding how families make decisions about supporting their young adult children and how those decisions are shaped by Australian social policy. The findings will inform social policy development by providing evidence on pressing issues such as the effects of rising house prices or weakening labour markets on young Australians' ability to invest in education.Read moreRead less
Risk and Australian public policy. This project will develop fundamentally new approaches to the theory of risk and uncertainty and their role in the design and management of complex projects and policy initiatives. The results will be applied to the central economic policy choices facing Australia; those connected with globalisation and microeconomic reform. This project will show how the latest advances in economic theory can help to illuminate the major issues in the Australian public debate, ....Risk and Australian public policy. This project will develop fundamentally new approaches to the theory of risk and uncertainty and their role in the design and management of complex projects and policy initiatives. The results will be applied to the central economic policy choices facing Australia; those connected with globalisation and microeconomic reform. This project will show how the latest advances in economic theory can help to illuminate the major issues in the Australian public debate, from the role of government and the market to the assessment of standards of living. The project will also help to bridge the gap between economics and other social sciences.Read moreRead less
Modelling the labour market and the impact of the tax-benefit system on employment and GDP. The key national benefit from the proposed project will be development of a more informed and rigorous basis for analysing and making decisions on an important set of policy issues. The project will develop a more empirically relevant modelling framework than currently available for analysing changes in the labour market and in tax and welfare policies. The results will assist policy analysts in identifyi ....Modelling the labour market and the impact of the tax-benefit system on employment and GDP. The key national benefit from the proposed project will be development of a more informed and rigorous basis for analysing and making decisions on an important set of policy issues. The project will develop a more empirically relevant modelling framework than currently available for analysing changes in the labour market and in tax and welfare policies. The results will assist policy analysts in identifying directions for reform that can raise living standards and achieve a more egalitarian society. The project will also identify reforms required to avert an ageing crisis, and those that inhibit GDP growth due to their negative effects on female employment, household saving and fertility. Read moreRead less
Designing Innovative Allocation Mechanisms for Public Policy. This project applies modern techniques of game theory, auction theory, and experimental economics to public policy design. It can deliver public benefits across a broad front by introducing and demonstrating a new policy design methodology to Australia, by delivering better policy design on specific projects, by building capacity, and by creating a network of collaborators including both University researchers and public sector policy ....Designing Innovative Allocation Mechanisms for Public Policy. This project applies modern techniques of game theory, auction theory, and experimental economics to public policy design. It can deliver public benefits across a broad front by introducing and demonstrating a new policy design methodology to Australia, by delivering better policy design on specific projects, by building capacity, and by creating a network of collaborators including both University researchers and public sector policy experts.Read moreRead less
Tackling the Tough Problems in Productivity Measurement: Infrastructure, Services and R&D. Productivity is seen as a main driver of economic growth and welfare improvements. Productivity indexes are used in a variety of policy contexts, in particular in determining the effectiveness (or otherwise) of government policies. Most industrialized countries have productivity accounts, but measurement problems persist and may even be more problematic in the future given an expansion in new goods and ser ....Tackling the Tough Problems in Productivity Measurement: Infrastructure, Services and R&D. Productivity is seen as a main driver of economic growth and welfare improvements. Productivity indexes are used in a variety of policy contexts, in particular in determining the effectiveness (or otherwise) of government policies. Most industrialized countries have productivity accounts, but measurement problems persist and may even be more problematic in the future given an expansion in new goods and services. Improved productivity measurement and an improved understanding of its sources can inform aggregate and regional policy. The project includes collaboration with the Australian Bureau of Statistics and the Productivity Commission, with the participation of the Reserve Bank of Australia.Read moreRead less
Taxation and the welfare state: implications of current policy directions for saving, fertility, economic growth and inequality. Current changes to taxation and welfare programs increase inequality by significantly lowering the net incomes of secondary earners, thus in turn reducing the net incomes of many low and middle wage families. The aim of the project is to investigate, both theoretically and empirically, the further effects on labour supply and saving in the short term and on family siz ....Taxation and the welfare state: implications of current policy directions for saving, fertility, economic growth and inequality. Current changes to taxation and welfare programs increase inequality by significantly lowering the net incomes of secondary earners, thus in turn reducing the net incomes of many low and middle wage families. The aim of the project is to investigate, both theoretically and empirically, the further effects on labour supply and saving in the short term and on family size and economic growth in the longer term. The study will produce new models and empirical results which will contribute to rigorous, informed debate on these issues.Read moreRead less
A Lifecycle Approach to Labour Supply, Human Capital Accumulation and Public Policy. According to available time use data Australia has a relatively low labour supply, when compared with other major OECD countries, due primarily to low female working hours. This project will investigate the lifecycle dynamics of family labour supply decisions and human capital accumulation, to provide a more informed basis for policy debates. We therefore see the major national and community benefit as that of p ....A Lifecycle Approach to Labour Supply, Human Capital Accumulation and Public Policy. According to available time use data Australia has a relatively low labour supply, when compared with other major OECD countries, due primarily to low female working hours. This project will investigate the lifecycle dynamics of family labour supply decisions and human capital accumulation, to provide a more informed basis for policy debates. We therefore see the major national and community benefit as that of promoting Australia's rate of economic growth and ability to sustain funding for education, health and welfare, in an ageing population.Read moreRead less