Rural-Urban Migration in China and Indonesia: Patterns, Consequences and Policy Intervention. China and Indonesia are two of Australia's most important neighbours. Their process of economic development and the social and political stability have tremendous impact on Australia's economic performance and prosperity. Assisting China and Indonesia to effectively manage the unprecedented large scale rural-urban migration is consistent with Australia's own interest. This project will lead to important ....Rural-Urban Migration in China and Indonesia: Patterns, Consequences and Policy Intervention. China and Indonesia are two of Australia's most important neighbours. Their process of economic development and the social and political stability have tremendous impact on Australia's economic performance and prosperity. Assisting China and Indonesia to effectively manage the unprecedented large scale rural-urban migration is consistent with Australia's own interest. This project will lead to important policy analyses that help the effective and efficient allocation of Australia's development aid budget. It will also build research and policy collaborations and cross-fertilisation amongst Australian government agencies, the Chinese government agencies in Indonesia as well as domestic and international research institutes.Read moreRead less
State & territory economic performance and national economic policy. The research is intended to provide a better understanding of the relationship between national and state & territory economic behaviour in Australia and the relative strengths of common and idiosyncratic factors affecting economic performance across the states and territories. The results of the research will help to inform both national and sub-national economic policies and hence contribute to better economic and social outc ....State & territory economic performance and national economic policy. The research is intended to provide a better understanding of the relationship between national and state & territory economic behaviour in Australia and the relative strengths of common and idiosyncratic factors affecting economic performance across the states and territories. The results of the research will help to inform both national and sub-national economic policies and hence contribute to better economic and social outcomes in Australia.Read moreRead less
Combining hydrological information with a multi-regional, computable general equilibrium model. The model to be created will combine a unique amount of economic detail at the statistical division level with hydrological detail. Users will obtain better estimates than previously available on the regional and industrial impacts of different water scenarios. This will produce economic and social returns to the community through improved water policies in the following areas: urban-rural water alloc ....Combining hydrological information with a multi-regional, computable general equilibrium model. The model to be created will combine a unique amount of economic detail at the statistical division level with hydrological detail. Users will obtain better estimates than previously available on the regional and industrial impacts of different water scenarios. This will produce economic and social returns to the community through improved water policies in the following areas: urban-rural water allocation; climate change impact assessment; water reform and water trading; and the economic impacts of meeting environmental objectives. The model will thus provide a path-breaking tool for examining issues arising from COAG reforms and broader policy goals. Read moreRead less
Speculative Bubbles in Property Markets. It is anticipated that the test for speculative bubbles outlined in this research proposal will make significant progress towards establishing the existence (or non-existence) of property market bubbles. While the proposed application is to the Sydney market, the method will be applicable to property markets in other cites and regions, both in Australia and internationally. An improved test for speculative bubbles will provide a better understanding of th ....Speculative Bubbles in Property Markets. It is anticipated that the test for speculative bubbles outlined in this research proposal will make significant progress towards establishing the existence (or non-existence) of property market bubbles. While the proposed application is to the Sydney market, the method will be applicable to property markets in other cites and regions, both in Australia and internationally. An improved test for speculative bubbles will provide a better understanding of the nature of bubbles and will benefit policy-makers by providing a more solid basis for policy development. The research will also produce hedonic pricing models that can be used understand the determinants of property prices and rents in Australian cities. Read moreRead less
Strategic Contracting with Complementary Assets under Assymetric Information. With the recent tendency for companies to patent any feasible innovations they might make, public policy must focus on the disincentive effects this may have for producers who must combine multiple patents. The project seeks to understand the 'holdout problem' that stems from such situations, and evaluate policy solutions for Australia and Internationally. Expected outcomes include publication in leading Australian and ....Strategic Contracting with Complementary Assets under Assymetric Information. With the recent tendency for companies to patent any feasible innovations they might make, public policy must focus on the disincentive effects this may have for producers who must combine multiple patents. The project seeks to understand the 'holdout problem' that stems from such situations, and evaluate policy solutions for Australia and Internationally. Expected outcomes include publication in leading Australian and International journals, and inputs to the policy debate.Read moreRead less
Assessing willingness to pay for urban water, wastewater, gas and electricity delivery service standards. The utility industry is a substantial component of the Australian economy (2.2 % of GDP), underpinning national production. Recent infrastructure failures, costing up to $200 million per week, have been blamed largely on regulatory approaches that emphasise minimum price and cost solutions to utility service provision without any assessment or consideration of the willingness to pay for serv ....Assessing willingness to pay for urban water, wastewater, gas and electricity delivery service standards. The utility industry is a substantial component of the Australian economy (2.2 % of GDP), underpinning national production. Recent infrastructure failures, costing up to $200 million per week, have been blamed largely on regulatory approaches that emphasise minimum price and cost solutions to utility service provision without any assessment or consideration of the willingness to pay for service quality and the value people place on surety of supply. Research on the role of WTP for service standards in regulating price and service quality is required to prevent future infrastructure failures. This research will provide substantial economic benefits to Australia through improved regulation and better targeting of infrastructure investment.Read moreRead less
Water derivatives: conceptualisation, price modelling and economic impacts. Introducing water options is likely to provide farmers with more choices on trading their water allocation and enhance water price certainty. Recent seasons have accentuated the potential benefit of water options: regions with highly secure water in the past have suffered repeated shortfalls in allocations. Water options would alter the behaviour of water managers who would need to ensure sufficient carryover to future s ....Water derivatives: conceptualisation, price modelling and economic impacts. Introducing water options is likely to provide farmers with more choices on trading their water allocation and enhance water price certainty. Recent seasons have accentuated the potential benefit of water options: regions with highly secure water in the past have suffered repeated shortfalls in allocations. Water options would alter the behaviour of water managers who would need to ensure sufficient carryover to future seasons to allow for drought. Options markets may improve the allocation of water between competing users. Such markets, by reducing uncertainty, may reduce excessive adjustment costs arising from drought by improving water access security.Read moreRead less
Evaluating the sources of growth and decline in Australia's State economies via historical/decomposition simulations with a dynamic multiregional fiscal model. Australia's State economies have experienced wide disparities in economic growth rates. Little research has been undertaken on the underlying forces responsible for this. Nevertheless, State and Commonwealth governments spend several $billion annually on policies with the ostensible aim of promoting State growth. Disparities in growth ....Evaluating the sources of growth and decline in Australia's State economies via historical/decomposition simulations with a dynamic multiregional fiscal model. Australia's State economies have experienced wide disparities in economic growth rates. Little research has been undertaken on the underlying forces responsible for this. Nevertheless, State and Commonwealth governments spend several $billion annually on policies with the ostensible aim of promoting State growth. Disparities in growth rates also contribute to potentially costly movements in population, and (by promoting perceptions of unequal outcomes from policy change) may hinder the inter-government cooperation required for many beneficial policy changes. This project aims to develop a dynamic 8-region CGE model of Australia, and use it to investigate the causes of relative state economic performance.Read moreRead less
Determinants of Variations in Productivity Growth across the States of Australia: Aggregate and Sectoral Analyses. This research project will investigate factors which account for differences in economic and productivity growth performance across the states of Australia. This is a topic of considerable significance to academic researchers, policy-makers, and the public at large. The proposed project will be at the forefront of international research in two sub-areas, namely analysis of inters ....Determinants of Variations in Productivity Growth across the States of Australia: Aggregate and Sectoral Analyses. This research project will investigate factors which account for differences in economic and productivity growth performance across the states of Australia. This is a topic of considerable significance to academic researchers, policy-makers, and the public at large. The proposed project will be at the forefront of international research in two sub-areas, namely analysis of interstate productivity growth at a sectoral level, and measurement of productivity growth in services industries. It will break new ground in Australian research in two respects, namely estimation of state capital stocks, and analysis of total factor productivity on an interstate basis.
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Towards an enhanced understanding of child and youth social exclusion risk at a small area level in Australia. This project will produce major national benefits, improving our understanding of child and youth social exclusion risk at a small area level, and putting Australia at the forefront of research into child well-being. Communities will benefit from the availability of high quality, rigorously developed measures of child and youth disadvantage at a local area level. Results from this proje ....Towards an enhanced understanding of child and youth social exclusion risk at a small area level in Australia. This project will produce major national benefits, improving our understanding of child and youth social exclusion risk at a small area level, and putting Australia at the forefront of research into child well-being. Communities will benefit from the availability of high quality, rigorously developed measures of child and youth disadvantage at a local area level. Results from this project will provided policy makers with tools to develop measures for overcoming disadvantage and narrowing gaps in outcomes for Australia's young people. The international team will ensure that methodological developments will be widely available in other countries interested in developing small area measures of child and youth disadvantage.Read moreRead less