Person

Gianni La Cava

Discussion paper

Smells like animal spirits: the effect of corporate sentiment on investment

Company-level investment is very sensitive to changes in the new sentiment indicator, even controlling for fundamentals, such as current and expected profits, as well as measures of company-level uncertainty. This paper explores the mechanisms that link investment to sentiment.
Discussion paper

The rise in household liquidity

This paper explores the determinants of liquidity across households and over time, using a range of household surveys for Australia. The authors find that household liquidity is strongly associated with life cycle factors, such as age and housing tenure.
Discussion paper

Start spreading the news: news sentiment and economic activity in Australia

In times of crisis, real-time indicators of economic activity are a critical input to timely and well-targeted policy responses. The authors of this paper have developed a ‘news sentiment index’ that measures the net balance of words expressing positive and negative sentiment used by journalists...
Discussion paper

The distributional effects of monetary policy: evidence from local housing markets

This paper examines how monetary policy affects housing prices across local areas. It also explores three related questions - How differently do housing prices respond to monetary policy across areas? What can explain these differences across areas? Does monetary policy cause changes in the housing...
Discussion paper

The effect of mortgage debt on consumer spending: evidence from household-level data

This paper explores the relationship between owner-occupier mortgage debt and spending using detailed panel data on Australian households. It finds evidence consistent with a ‘debt overhang effect’ – households cut back on their spending when they have higher levels of outstanding mortgage debt.