W. Max Corden

Working paper

The Dutch Disease in Australia: policy options for a three-speed economy

This paper expounds the concept of Dutch Disease - adverse effects through real exchange rate appreciation - as it applies currently to Australia, noting the various gains and losses resulting from the Australian mining boom. This paper expounds the concept of Dutch Disease as it...

The theory of the fiscal stimulus: how will a debt-financed stimulus affect the future?

Conservative critics of Keynesian fiscal stimulus policies usually criticise such policies because of the increase in public debt that results. Hence a burden on future taxpayers would be imposed. But there are qualifications. Firstly, if there is an initial output gap that cannot be eliminated...

The world credit crisis: understanding it, and what to do

This paper expounds a story in four stages to explain the world credit crisis, namely: (1) too much credit - an international perspective, (2) too much risk - reaction to low real interest rate, (3) the fatal flaw - the new complex financial instruments, and...