Real Economy and Financial Networks: Formation, Structure, Policy Responses

Funding: 2017: $60,000
2018: $150,000
2019: $176,000

Project Member(s): Anufriev, M.

Funding or Partner Organisation: Australian Research Council (ARC Discovery Projects)

Start year: 2017

Summary: Network approach is now gaining popularity in various areas of economics. This project applies the recent developments in networks to the Australian economy. We will extend an input-output network model to open economy including import-export links. Next, we will focus on the relationship between the real economy and the financial sector. We will further develop a network formation model for production and credit-lending relationships to investigate network evolution and perform counter-factual analysis. To estimate the parameters of the models we will advance estimation methodology. The models will be estimated on the Australian data. Our analysis will improve economic and macro-prudential policy responses to changing market conditions.

FOR Codes: Macroeconomics (incl. Monetary and Fiscal Theory), Econometric and Statistical Methods, Financial Economics, Expanding Knowledge in Economics, Macroeconomics not elsewhere classified, Industry Costs and Structure

Acknowledgement of Country

UTS acknowledges the Gadigal people of the Eora Nation, the Boorooberongal people of the Dharug Nation, the Bidiagal people and the Gamaygal people, upon whose ancestral lands our university stands. We would also like to pay respect to the Elders both past and present, acknowledging them as the traditional custodians of knowledge for these lands.