There is a long literature examining the theoretical relationships between the rate of inflation and the size of the capital stock in an economy. This literature has produced varied predictions about the effects of inflation on the capital stock. In this paper, we present some new empirical...

We use a model of intertemporal tax smoothing to examine long run data on fiscal policy in the United States, the United Kingdom, and Australia. We find that the intertemporal model provides a good description of tax policy for the United States but is rejected for Australia and for the UK.

In this paper the relationship between inflation and stock returns in Australia is examined. It is found that increases in the price level reduce the real level of the stock price index. However, it is also found that the questionof whether persistent increases in inflation affect real returns...

In this paper we contrast a number of univariate models of Canadian GDP. We find that non-linear models are prefered to linear models, and that the most recent recession in Canada was unique in both its length and in the slow speed of recovery. We also briefly explore the link between stages of...

We address the question of whether asymmetry in the business cycle and asymmetry in the persistence of negative versus positive shocks characteries Australian output growth. Using nonlinear time series models we provide evidence that suggests Australian output growth is characterised by three...

In this paper we investigate the relationship between inflation and unemployment in Australia, post 1959. We focus on two features of the data: firstly, we find that forecasting models are surprisingly stable through our sample period. We also estimate the nonaccelerating inflation rate of...