Australian Economic Review最新文献

This study examines the impact of economic uncertainty on governance quality using a cross-country panel data set from 1993 to 2022. Governance quality is measured through control of corruption, regulatory quality, government effectiveness and political stability. Results show that economic uncertainty significantly weakens governance, with pronounced effects on political stability and government effectiveness, particularly in higher-income countries. Robustness checks, including inverse probability weighting and alternative uncertainty measures, confirm these findings. The study underscores the critical role of economic stability in mitigating corruption, reducing political instability and supporting Sustainable Development Goal 16 by fostering stronger governance globally.

Economic inequality is an important issue deserving of the considerable attention it now receives among applied economics researchers, reflecting the reality that the distribution of economic output is almost as important to community wellbeing as the total quantity of output. While many questions remain unanswered, there is now a substantial body of Australian research on the topic and a correspondingly improved understanding of the nature, causes and consequences of inequality in Australia.

However, the translation of this body of knowledge to the general public was somewhat lacking until Leigh's 2013 book, Battlers and Billionaires (Leigh 2013), which provided an accessible overview of the evolution of inequality in Australia, its drivers and consequences, and proposals for ways to reduce it. It therefore provided a valuable resource for informing public discourse on this important subject.

In Leigh (2024), the author provides an update to Leigh (2013). As would be expected of an “update,” much of the material in this book is the same as in the original book. The main differences are the addition of more recent data and a few extra graphs, discussion of new research published since the first book was published, a few tweaks to the stories told and the way the material is explained, and the addition of two recommendations for “what is to be done.” The general story and the key messages have not changed and therefore the book is probably targeted at people who have not read the first book.

As with Leigh (2013), this is a highly enjoyable read, with Leigh complementing the well-researched empirical facts with engaging and often entertaining historical facts, stories and anecdotes. The book is written for a general audience, with technical details and sources consigned to endnotes. It succeeds in being accessible to non-experts, although I suspect much of it will nonetheless be somewhat heavy going for many readers.

The book contains eight chapters, the first three of which describe the evolution of inequality in Australia from pre-colonization to the present day. Chapter 4 then examines the drivers of inequality, mainly focusing on recent decades. Chapter 5 discusses the consequences of inequality; Chapter 6 addresses the issue of intergenerational economic mobility and Chapter 7 discusses community attitudes to inequality. He concludes in Chapter 8 with a list of recommendations for addressing inequality.

In broad terms, the story told in the first three chapters of the evolution of inequality in Australia is correct: inequality levels and trends pre-federation are uncertain, but inequality was probably very high over most of the nineteenth century. Inequality then decreased between federation and the 1970s, and then subsequently increased.

The description of inequality trends is most balanced over the period to the early 1980s, when data avai

The economy grew at a well below-trend pace in 2023/2024. Inflation fell, and the unemployment rate edged higher, but these changes were not sufficient to convince the Reserve Bank of Australia to start cutting the cash rate. In 2024, the federal Budget included cost-of-living financial support, as well as measures to support housing affordability, but living standards continued to slip as real GDP per capita fell. Overall, the Misery Index for Australia remains high and ongoing uncertainty about the United States and Chinese economies are downside risks to the outlook for 2024/2025.

The notes start with a description of the market for PhDs in economics and finance. Then follows some suggestions and comments on an important part of the academic market, the job-market paper – its nature and the pros and cons of co-authorship. Finally, I discuss the role of the oral presentation, also important for a job in academe, as well as in other areas.

Nine leading economists acknowledge that the state of the labour market is currently the critical factor determining price inflation and, consequently, the decision to adjust the cash rate. The main point of contention is how high unemployment, and other measures of labour surplus, need to be, to ensure wages do not fuel further inflation. Five economists agree that current conditions (January 2025) are not stimulating inflation and delaying a rate cut could risk a low growth, low productivity outcome; two have a conditional view, and two would like to see rates maintained.