Financial crises, volatility and sovereign ratings: Do ratings really matter when they are needed most? The stability of Australian financial markets during the Asian financial crisis is a major economic success story. Subsequently, an important policy objective has been in enhancing the capacity of the financial infrastructure in regional financial markets to reduce their exposure to such crises. Recent financial market turmoil dramatically underscores the need to better understand the full myr ....Financial crises, volatility and sovereign ratings: Do ratings really matter when they are needed most? The stability of Australian financial markets during the Asian financial crisis is a major economic success story. Subsequently, an important policy objective has been in enhancing the capacity of the financial infrastructure in regional financial markets to reduce their exposure to such crises. Recent financial market turmoil dramatically underscores the need to better understand the full myriad of factors that feed into this challenging concern. One critical area of debate is whether or not rating agencies play a calming role. This project will deliver insights that aid development of the financial infrastructure to cope better with such crises and retain investor confidence.Read moreRead less
New approaches for testing in nonlinear models. The outcome of this project is a new econometric methodology that will be particularly useful for developing our understanding of Australian (and global) financial markets. Specific benefits are that (i) our value-at-risk models will enhance national and international awareness of issues relating to financial risk management; (ii) our exchange rate pass through model will aid the development of Australian trade and pricing policies and (iii) our du ....New approaches for testing in nonlinear models. The outcome of this project is a new econometric methodology that will be particularly useful for developing our understanding of Australian (and global) financial markets. Specific benefits are that (i) our value-at-risk models will enhance national and international awareness of issues relating to financial risk management; (ii) our exchange rate pass through model will aid the development of Australian trade and pricing policies and (iii) our duration models for trade in Australian stocks will lead to a better understanding of the microstructure of the Australian stock market.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
Modelling multivariate financial time series using copulas. What are the chances that the losses in the market value of investments exceed the anticipated levels? Given that one country's financial market collapsed, what are the chances that it would lead to financial crises in other countries? These questions often arise in risk management and international finance. This project takes a significant step forward from the existing literature to develop new flexible and innovative methods to an ....Modelling multivariate financial time series using copulas. What are the chances that the losses in the market value of investments exceed the anticipated levels? Given that one country's financial market collapsed, what are the chances that it would lead to financial crises in other countries? These questions often arise in risk management and international finance. This project takes a significant step forward from the existing literature to develop new flexible and innovative methods to answer the foregoing type of questions. Further, this project proposes new measures of market risks that are suitable for communicating to the broader public as well as the experts.Read moreRead less
Australia's Resilience to Recession. This project aims to study why Australia differs from its OECD peers in that it has not had a recession for 27 years. It intends to generate knowledge by using economic models to solve 3 puzzles relating to Australia’s success: (i) why did foreign financial market shocks not spill over to the economy?; (ii) how has the resource curse that affects economies with a booming resource sector been avoided?; and (iii) what makes Australia special? Expected outcomes ....Australia's Resilience to Recession. This project aims to study why Australia differs from its OECD peers in that it has not had a recession for 27 years. It intends to generate knowledge by using economic models to solve 3 puzzles relating to Australia’s success: (i) why did foreign financial market shocks not spill over to the economy?; (ii) how has the resource curse that affects economies with a booming resource sector been avoided?; and (iii) what makes Australia special? Expected outcomes include the development of theoretical and empirical models that reflect the unique features of the Australian economy. This should provide significant benefits, including guidance to Australian and international policymakers on macroeconomic policies for resource-rich countries.Read moreRead less
Characterising and suppressing vortex induced vibration. Vortex-Induced Vibration has become the design limiting factor in offshore design of elements such as the flexible pipelines that bring oil and gas to the surface. With rising oil and gas prices it is becoming more economic to explore such resources in deeper waters, which exacerbates the problem. Currently, high factors of safety must be used in the design of such pipelines because of our current lack of understanding of when the vibratio ....Characterising and suppressing vortex induced vibration. Vortex-Induced Vibration has become the design limiting factor in offshore design of elements such as the flexible pipelines that bring oil and gas to the surface. With rising oil and gas prices it is becoming more economic to explore such resources in deeper waters, which exacerbates the problem. Currently, high factors of safety must be used in the design of such pipelines because of our current lack of understanding of when the vibrations occur and their frequency and amplitude. This study will provide insight into the character of such vibrations and also look at means of suppressing them.Read moreRead less
Novel membranes and membrane structures using electrospinning. This project aims to develop novel membrane support materials and novel membrane structures to enhance chemical separation processes. These materials can be used in desalination and water treatment, reducing the resistance to water flows. In turn, this will reduce the energy required to produce fresh drinking water for Australians, as well as the cost. The approach will also be applied to carbon dioxide capture from flue gas streams, ....Novel membranes and membrane structures using electrospinning. This project aims to develop novel membrane support materials and novel membrane structures to enhance chemical separation processes. These materials can be used in desalination and water treatment, reducing the resistance to water flows. In turn, this will reduce the energy required to produce fresh drinking water for Australians, as well as the cost. The approach will also be applied to carbon dioxide capture from flue gas streams, increasing the energy efficiency of these processes, so that they can become economically viable. The project has the potential to develop localised manufacturing operations to produce these materials, adding value to Australian manufactured products.Read moreRead less
Predicting the foundation performance of offshore jack-up drilling rigs in intermediate soils. The research outcomes will be a major step forward in creating safer operations of mobile platforms in our challenging seabed conditions. The new models and guidelines will assist engineers in the efficient expansion of our offshore oil and gas industry, with significant increased investment projected over the next five years.
The dynamic evolution of sheared continental margins. This project will contribute to the fundamental science of understanding plate tectonic processes, and also have important practical implications for the oil and gas resources that are developed and hosted in continental margin settings. The study is therefore relevant to the National Research Priority goal of 'Developing Deep Earth Resources'. The project will also enhance our national scientific standing by addressing important scientific q ....The dynamic evolution of sheared continental margins. This project will contribute to the fundamental science of understanding plate tectonic processes, and also have important practical implications for the oil and gas resources that are developed and hosted in continental margin settings. The study is therefore relevant to the National Research Priority goal of 'Developing Deep Earth Resources'. The project will also enhance our national scientific standing by addressing important scientific questions of global significance, and by establishing strong international collaborations with prominent researchers outside Australia. In addition, the work will help sustain a world-leading research capability and provide a training ground for a new generation of younger scientists in Australia.Read moreRead less
Numerical Modelling of Extreme Waves Generated by Tropical Cyclones. Waves generated by tropical cyclones are a key design parameter for shipping, coastal and offshore structures and coastal erosion. The accurate prediction of tropical cyclone generated extreme waves is consequently of critical importance. Outcomes of the project will lead to more accurate wave forecasts, both for tropical cyclones and other extreme events. The main result will be a new non-linear approach to be used in predicti ....Numerical Modelling of Extreme Waves Generated by Tropical Cyclones. Waves generated by tropical cyclones are a key design parameter for shipping, coastal and offshore structures and coastal erosion. The accurate prediction of tropical cyclone generated extreme waves is consequently of critical importance. Outcomes of the project will lead to more accurate wave forecasts, both for tropical cyclones and other extreme events. The main result will be a new non-linear approach to be used in prediction models. This approach is expected to be broadly implemented by the meteorological, oceanographic and scientific communities around the world and potentially replace existing algorithms in spectral wave models. The economic and social implications of an enhanced ability to predict such extremes are significant.Read moreRead less