Economic policy when interest rates are zero. This Project studies economic policy when interest rates are zero. Low interest rate environments constrain monetary policy because central banks cannot lower rates to raise demand. We exploit recent international experience with zero rates to understand why new policies have had mixed success. We argue different outcomes across countries arise because of different degrees of credibility and familiarity with new policy initiatives. We provide empiric ....Economic policy when interest rates are zero. This Project studies economic policy when interest rates are zero. Low interest rate environments constrain monetary policy because central banks cannot lower rates to raise demand. We exploit recent international experience with zero rates to understand why new policies have had mixed success. We argue different outcomes across countries arise because of different degrees of credibility and familiarity with new policy initiatives. We provide empirical support for this view and study the consequences of imperfectly credible policy. We characterize how monetary policy (conventional and unconventional) and fiscal policy can be used to greatest effect in low interest rate environments and quantify the welfare implications for Australia. Read moreRead less
Evaluating the impact of Indigenous preferential procurement programs. This project aims to conduct a multi-disciplinary, multi-method evaluation of the implementation and impacts of Indigenous preferential procurement programs (IPPPs) on Indigenous businesses, Indigenous communities, procurers’ operations and outcomes. Bringing together researchers in partnership with corporate and government procurers, Indigenous data custodians and the Australian Bureau of Statistics we aim to produce a signi ....Evaluating the impact of Indigenous preferential procurement programs. This project aims to conduct a multi-disciplinary, multi-method evaluation of the implementation and impacts of Indigenous preferential procurement programs (IPPPs) on Indigenous businesses, Indigenous communities, procurers’ operations and outcomes. Bringing together researchers in partnership with corporate and government procurers, Indigenous data custodians and the Australian Bureau of Statistics we aim to produce a significant national program evaluation of IPPPs and the impact at the community level. The project aims to highlight ways in which IPPPs can be [re]designed to reduce implementation friction, facilitate access and participation among Indigenous businesses and help guarantee positive effects on Indigenous communities.Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE190101167
Funder
Australian Research Council
Funding Amount
$410,000.00
Summary
The environmental costs and benefits of special economic zones. This project aims to evaluate the environmental impacts of the spatial concentration of firms. Taking advantage of increasing availability of geo-referenced economic data, the project will evaluate the environmental costs and benefits of policies to promote industrial clusters in China, India, and Colombia. The collected datasets will match trends in firm-level emissions imputed from accounting data to ambient pollution measures der ....The environmental costs and benefits of special economic zones. This project aims to evaluate the environmental impacts of the spatial concentration of firms. Taking advantage of increasing availability of geo-referenced economic data, the project will evaluate the environmental costs and benefits of policies to promote industrial clusters in China, India, and Colombia. The collected datasets will match trends in firm-level emissions imputed from accounting data to ambient pollution measures derived from ground monitors and satellites. This project will investigate the interactions between economic growth and industrial emissions, and provide recommendations based on a better understanding of whether industrial clusters mitigate or exacerbate local and global emissions from manufacturing.Read moreRead less
Distorted Beliefs and Asset Price Disconnect Puzzles. Asset price booms and busts have broad ranging implications for households. Despite this, models used for policy analysis struggle to explain asset prices and their implications for the macroeconomy. This project will deliver frontier macro-finance research to inform academics and policymakers on how to model asset price booms and busts, to explain why equity and house price falls appear to have small versus large effects, and how to design e ....Distorted Beliefs and Asset Price Disconnect Puzzles. Asset price booms and busts have broad ranging implications for households. Despite this, models used for policy analysis struggle to explain asset prices and their implications for the macroeconomy. This project will deliver frontier macro-finance research to inform academics and policymakers on how to model asset price booms and busts, to explain why equity and house price falls appear to have small versus large effects, and how to design effective policy responses. Led by internationally recognized experts in macroeconomics, this research proposal is perfectly positioned to deliver scientific peer-reviewed research and embed outcomes through evidenced partnerships with the Reserve Bank of Australia and the Federal Department of Treasury.Read moreRead less
Embedded emissions accounting: frameworks for trade in a net-zero world. This project aims to inform Government on potential accounting frameworks for greenhouse emissions embedded in tradable products. Public frameworks are urgently needed given the emergence internationally of trade-related climate policies such as carbon border adjustment mechanisms. The project expects to contribute to global knowledge on embedded emissions frameworks by combining economic, engineering, science and policy pe ....Embedded emissions accounting: frameworks for trade in a net-zero world. This project aims to inform Government on potential accounting frameworks for greenhouse emissions embedded in tradable products. Public frameworks are urgently needed given the emergence internationally of trade-related climate policies such as carbon border adjustment mechanisms. The project expects to contribute to global knowledge on embedded emissions frameworks by combining economic, engineering, science and policy perspectives. Expected outcomes include improved: capability within Government; understanding among Australian stakeholders; and integration with international approaches. Expected benefits include lower regulatory barriers to global emissions reductions, and fairer access to international markets for Australian producers. Read moreRead less
Microeconometric Analysis of Socioeconomic Inequity in Mental Healthcare. The project aims to describe the extent of socioeconomic inequity in Australian mental healthcare use, identify the causal pathways that drive inequities, and conduct economic evaluations of programs aimed at increasing healthcare access. Microeconometric methods will be used to analyse large, longitudinal datasets that have not previously been used for this purpose. The project expects to provide a greater understanding o ....Microeconometric Analysis of Socioeconomic Inequity in Mental Healthcare. The project aims to describe the extent of socioeconomic inequity in Australian mental healthcare use, identify the causal pathways that drive inequities, and conduct economic evaluations of programs aimed at increasing healthcare access. Microeconometric methods will be used to analyse large, longitudinal datasets that have not previously been used for this purpose. The project expects to provide a greater understanding of the barriers that people face in accessing treatment and how to overcome them. Such understanding is currently missing from academic literatures and policy inquiries. Ultimately, the research should aid in the design of cost-effective policies that improve health outcomes and that reduce inequities in treatment access.Read moreRead less
The Role of a Central Bank’s Balance Sheet in Shaping the Economy. In response to the global financial crisis, the world’s major central banks cut their rates to near zero and implemented untested unconventional monetary policies, significantly expanding the size and composition of their balance sheets. More than a decade later, the Reserve Bank of Australia is considering similar balance sheet policies. This proposal aims to develop various frameworks that can be used to simulate and evaluate w ....The Role of a Central Bank’s Balance Sheet in Shaping the Economy. In response to the global financial crisis, the world’s major central banks cut their rates to near zero and implemented untested unconventional monetary policies, significantly expanding the size and composition of their balance sheets. More than a decade later, the Reserve Bank of Australia is considering similar balance sheet policies. This proposal aims to develop various frameworks that can be used to simulate and evaluate when and how to eventually undo unconventional monetary policies in order to prevent a prolonged recession. Thus this research proposal will contribute to the current Australian monetary policy debate while providing some insights on how best to implement such policies, improving the living standards of Australians.Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE210100137
Funder
Australian Research Council
Funding Amount
$347,889.00
Summary
Global Economic Uncertainty, Liquidity and Monetary Policy in Australia. This project aims to analyse the impact of global trade and financial uncertainty on the Australian economy and provide quantifiable policy prescriptions. This project expects to generate new knowledge in the area of monetary and macroeconomic policy using an innovative approach with search and matching frictions, to formalise how investors respond to higher uncertainty given their liquidity requirements. The intended outco ....Global Economic Uncertainty, Liquidity and Monetary Policy in Australia. This project aims to analyse the impact of global trade and financial uncertainty on the Australian economy and provide quantifiable policy prescriptions. This project expects to generate new knowledge in the area of monetary and macroeconomic policy using an innovative approach with search and matching frictions, to formalise how investors respond to higher uncertainty given their liquidity requirements. The intended outcomes of the project include offering a new theory with the potential to guide future research and novel quantitative application to Australian macroeconomic data. This should provide significant insights for institutions such as the Reserve Bank of Australia and benefits through the design of policy.Read moreRead less
Public Finance and Cryptocurrencies. This project aims to analyse the impact of cryptocurrency technology on taxation and the provision of public goods in Australia. The project will identify the historical relationship between money technologies and public finance, examine the impact of cryptocurrencies in relation to the modern state, and investigate the potential of utilising cryptocurrencies in the provision of public goods. The outcomes of the research will expand theoretical and practical ....Public Finance and Cryptocurrencies. This project aims to analyse the impact of cryptocurrency technology on taxation and the provision of public goods in Australia. The project will identify the historical relationship between money technologies and public finance, examine the impact of cryptocurrencies in relation to the modern state, and investigate the potential of utilising cryptocurrencies in the provision of public goods. The outcomes of the research will expand theoretical and practical understanding of public finance in a world of cryptocurrencies. The project findings will provide guidance to Australian and international policymakers to prepare for potential disruptions to taxation and public goods provision. Read moreRead less
Gross credit flows, credit reallocation, and the macroeconomy. This project aims to construct measures of credit reallocation from regulatory bank-level data for Australia and other countries. The project intends to develop empirical models able to evaluate the role of credit reallocation on aggregate output and a theoretical model with search and match frictions to evaluate quantitatively the role of bank credit in explaining macroeconomic outcomes. The project expects to provide significant be ....Gross credit flows, credit reallocation, and the macroeconomy. This project aims to construct measures of credit reallocation from regulatory bank-level data for Australia and other countries. The project intends to develop empirical models able to evaluate the role of credit reallocation on aggregate output and a theoretical model with search and match frictions to evaluate quantitatively the role of bank credit in explaining macroeconomic outcomes. The project expects to provide significant benefits for policymakers for assessing the interplay between monetary and credit policy, formulating macroeconomic and macro prudential policies, and shedding light on the causes of productivity dynamics in Australia, boosting its comparative advantage.Read moreRead less