This paper estimates the effect of several business investment tax breaks (ITBs), including tax credits and instant asset write-offs, implemented over the past 15 years. The paper provides three key findings. A key takeaway is that ITBs can be effective tools for stimulating the economy during a downturn.

This paper explores the formation of households’ wage and inflation expectations in order to better understand the role they play in monetary policymaking and the macroeconomy. It finds that households associate high wage growth with good economic outcomes and high inflation with bad ones, suggesting little trade-off between reducing inflation and economic activity.

Occupational entry regulations (OER) are legal requirements people need to meet to enter certain professions. They are intended to protect consumers by ensuring providers are of sufficient quality, but can also create costs by making it harder for new workers to enter a profession or for new firms to open and grow. This paper finds...

Recent papers have argued that monetary policy and economic conditions can influence the amount of innovative activity in the economy, and therefore productivity and living standards in the future. This paper examines whether this is the case for Australia - a small open economy that tends to import innovation from overseas.

This paper explores a new approach to identifying the effects of monetary policy using high-frequency data around monetary policy decisions and other announcements that allows us to explore different facets of monetary policy.