Measuring the Commercial Real Estate Sector in Australia. This project aims to address a significant gap in our understanding of the Australian commercial real estate sector. It will use detailed data to develop sophisticated models of the prices of commercial buildings. Expected outcomes include a suite of commercial real estate price indexes for Australia, by region and property type, and a comprehensive and transparent examination of the methods used to construct them. This will shed light on ....Measuring the Commercial Real Estate Sector in Australia. This project aims to address a significant gap in our understanding of the Australian commercial real estate sector. It will use detailed data to develop sophisticated models of the prices of commercial buildings. Expected outcomes include a suite of commercial real estate price indexes for Australia, by region and property type, and a comprehensive and transparent examination of the methods used to construct them. This will shed light on a hitherto poorly measured sector and provide significant benefits by better informing market participants, guiding statistical agencies in developing such measures and better-enabling policymakers, banks, superfunds and macroprudential authorities to understand the risk profile of the sector.Read moreRead less
Understanding macroeconomic fluctuations with unobserved networks. Whilst empirical evidence suggests that firm-level shocks can have large aggregate effects, via network connections, macroeconomic policies have mostly an aggregate nature. This project aims to build a new framework to disentangle aggregate shocks from shocks to individual units. The major innovations are i) to infer the network from the data and ii) to jointly estimate aggregate factors and network effects. Expected outcomes are ....Understanding macroeconomic fluctuations with unobserved networks. Whilst empirical evidence suggests that firm-level shocks can have large aggregate effects, via network connections, macroeconomic policies have mostly an aggregate nature. This project aims to build a new framework to disentangle aggregate shocks from shocks to individual units. The major innovations are i) to infer the network from the data and ii) to jointly estimate aggregate factors and network effects. Expected outcomes are i) measures of systemic risk and ii) a theoretical framework to study the optimality of aggregate versus sectoral stabilization policies. Benefits include a better understanding of macroeconomic fluctuations in Australia and proposed economic policies to mitigate large and persistent declines in employment and GDP.Read moreRead less