Increasing Globalisation and its Economic Implications. This project will focus on globalisation and its economic implications. We will: (a) propose definitions and measure of the ?degree of globalization", (b) examine its relationship with the degree of uncertainty facing an economy, (c) study the effects of globalisation and uncertainty on productivity growth, (d) examine the effects of uncertainty on the economy and (f) provide empirical applications for the Australian economy. Our project wi ....Increasing Globalisation and its Economic Implications. This project will focus on globalisation and its economic implications. We will: (a) propose definitions and measure of the ?degree of globalization", (b) examine its relationship with the degree of uncertainty facing an economy, (c) study the effects of globalisation and uncertainty on productivity growth, (d) examine the effects of uncertainty on the economy and (f) provide empirical applications for the Australian economy. Our project will provide an important, innovative and comprehensive examination of globalization and its economic effects. In addition to making novel theoretical and empirical contributions, it will also facilitate meaningful analyses of policy issues in Australia.Read moreRead less
Economic Growth and Real Exchange Rates. Exchange rate movements are important elements of Australia's economic environment. Protectionist interests in the US and Europe, constrained by WTO trade rules, accuse East Asian economies of deliberate undervaluation. While exchange rate movements are not readily predictable in the short run, long run changes in underlying real exchange rates are amenable to economic analysis using structural models. The clearer understanding of these forces, toward ....Economic Growth and Real Exchange Rates. Exchange rate movements are important elements of Australia's economic environment. Protectionist interests in the US and Europe, constrained by WTO trade rules, accuse East Asian economies of deliberate undervaluation. While exchange rate movements are not readily predictable in the short run, long run changes in underlying real exchange rates are amenable to economic analysis using structural models. The clearer understanding of these forces, toward which this project is directed, will better guide investment in the region, including in Australia, and more importantly, it will better inform future policy debates surrounding currency movements.Read moreRead less
State-contingent analysis of productivity, efficiency and innovation. Productivity growth is a fundamental precondition for sustainable improvements in living standards. The main drivers of productivity growth are technological innovation and improvements in the efficiency of resource use. Effective public policy in this area requires identification of these components. This project develops improved productivity measurement methods that are applicable in economic environments characterised b ....State-contingent analysis of productivity, efficiency and innovation. Productivity growth is a fundamental precondition for sustainable improvements in living standards. The main drivers of productivity growth are technological innovation and improvements in the efficiency of resource use. Effective public policy in this area requires identification of these components. This project develops improved productivity measurement methods that are applicable in economic environments characterised by production and/or demand uncertainty. The methods will be used to obtain improved estimates of rates of innovation and changes in the relative efficiency of selected Australian enterprises. The empirical results will inform National Competition Policy and the process of microeconomic reform.Read moreRead less
Exchange Rates and Commodity Prices in a Volatile Business Environment. In recent years, many Australian companies have been hurt by the large movements in the value of the Australian dollar, by their inability to forecast these movements, and by deficiencies of their hedging strategies to deal with foreign-exchange risk. This project will develop an alternative way of forecasting the $A in real time using a new methodology, based on purchasing power parity, that shows much promise. Additional ....Exchange Rates and Commodity Prices in a Volatile Business Environment. In recent years, many Australian companies have been hurt by the large movements in the value of the Australian dollar, by their inability to forecast these movements, and by deficiencies of their hedging strategies to deal with foreign-exchange risk. This project will develop an alternative way of forecasting the $A in real time using a new methodology, based on purchasing power parity, that shows much promise. Additionally, an innovative way to analyse gold prices will be further developed, which when combined with the $A forecasts, offers a potentially valuable method of hedging foreign exchange and commodity price risk faced by Australian gold producers.Read moreRead less
Consistent Space-Time Comparisons of Real Income. The project will result in internationally comparable macroeconomic data, spanning all years since 1950 and covering in excess of 120 countries. The Australian government, private sector and academic researchers will find from this project a wealth of economic information on Australia, its geographical neighbours and trading partners which can be used in assessing Australia's economic performance and role in a global context. Results from this pr ....Consistent Space-Time Comparisons of Real Income. The project will result in internationally comparable macroeconomic data, spanning all years since 1950 and covering in excess of 120 countries. The Australian government, private sector and academic researchers will find from this project a wealth of economic information on Australia, its geographical neighbours and trading partners which can be used in assessing Australia's economic performance and role in a global context. Results from this project will provide international organisations, multinationals and researchers with a much improved data set, to those currently available, thus enhancing the reputation of the research team, the University of Queensland and Australia. Read moreRead less
Construction of Consistent Panels of Real Gross Domestic Product and its Components at Current and Constant Prices. The Australian government, international organizations, private sector and academic researchers will find from this project a wealth of economic information on Australia, its geographical neighbours and trading partners which can be used in assessing Australia's economic performance and role in a global context. This project will result in internationally comparable real income, co ....Construction of Consistent Panels of Real Gross Domestic Product and its Components at Current and Constant Prices. The Australian government, international organizations, private sector and academic researchers will find from this project a wealth of economic information on Australia, its geographical neighbours and trading partners which can be used in assessing Australia's economic performance and role in a global context. This project will result in internationally comparable real income, consumption, investment and government expenditures spanning all years since 1950 and covering over 180 countries based on an econometric methodology that is superior to those currently in use. Successful completion of the project will place the research team, the University of Queensland and Australia on the international map.Read moreRead less