We present a SAM-methodology for integrating simple macroeconomic and CGE models, which is applied to integrate standard versions of the merged and static CGE model frameworks. The integrated model accounts for relative prices and income distribution. A set of integrated model projections is...

As noted by Alan Greenspan in 2008, one key flaw in standard models is that they treat animal spirits as a simple 'add factor' rather than as a structural one. This paper evaluates the extent to which two recent approaches placing the emphasis on animal spirits - namely Farmer's...

Social accounting matrix (SAM) is the linkage bridge between economic data and policy analysis in the general equilibrium models. While the empirical SAM is built upon economic data from the system of national accounts, the theoretical SAM is built upon the relation between economic actors in...

The Australian economy is constantly affected by technological, demand and policy shocks from home and abroad. The opportunities and challenges presented by these shocks create demand for government advice on the likely effects on households, firms and the Australian economy, and in turn...