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An Estimated New Keynesian Policy Model for Australia Author info | Abstract | Publisher info | Download info | Related research | Statistics DANIEL BUNCIC
MARTIN MELECKY
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An open economy New Keynesian policy model for Australia is estimated in this study. We investigate how important external shocks are as a source of macroeconomic fluctuations when compared to domestic ones. The results of our analysis suggest that the Australian business cycle and domestic inflation are most affected by domestic demand and supply shocks, respectively. However, domestic output also appears to be strongly affected by foreign demand shocks and domestic inflation by exchange rate shocks. Domestic variables do not seem to be significantly affected by foreign supply and monetary policy shocks. Copyright © 2008 The Economic Society of Australia.
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Article provided by The Economic Society of Australia in its journal Economic Record .
Volume (Year): 84 (2008)
Issue (Month): 264 (03)
Pages: 1-16
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Paper Buncic, Daniel & Melecky, Martin, 2007.
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references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Melecky, Martin, 2007.
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