Industrial policy is ubiquitous in both developing and developed countries. In China, government intervention in favor of specific industries is believed to play an important role in economic development. The targeting of strategic industries for preferential treatment has been a central part of...

Contrary to expectations, many policies which have traditionally been recommended to alleviate unemployment are found, in fact, to exacerbate the unemployment problem. We simulate a linearised numerical version of the model. We examine seven alternative policies, six carried out by a regional...

The concept of the natural rate of unemployment is widely used in the analysis and discussion of macroeconomic policy. It is, however, unobservable so that estimates of the natural rate are necessarily based on a particular theory of unemployment. Hence, measures of the natural rate, whether...

In this paper we investigate the effect of financial deregulation on the relationship between the macro-economy and the share market within the framework of a VAR using quarterly Australian data for four variables - aggregate share prices, real output, the term premium and the default premium....