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Commodity Price Shocks and the Australian Economy since Federation

  • Sambit Bhattacharyya
  • Jeffrey G. Williamson

Even though Australia has experienced frequent and large commodity export price shocks like the Third World, it seems to have dealt with the volatility better. Why? This paper explores Australian terms of trade volatility since 1901. It identifies two major price shock episodes before the recent mining-led boom and bust. It assesses their relative magnitude, their de-industrialization and distributional impact, and policy responses. In what way has Australia been different from other commodity exporters experiencing volatile prices?

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File URL: http://www.nber.org/papers/w14694.pdf
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 14694.

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Date of creation: Jan 2009
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Publication status: published as Sambit Bhattacharyya & Jeffrey G. Williamson, 2011. "Commodity Price Shocks And The Australian Economy Since Federation," Australian Economic History Review, Wiley Blackwell Asia Pty Ltd and the Economic History Society of Australia and New Zealand, vol. 51(2), pages 150-177, 07.
Handle: RePEc:nbr:nberwo:14694
Note: DAE
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