The policy challenges and options available to policymakers in open economies such as Australia’s are very different to those in the United States or Europe, which have been the typical focus of most economic policy analysis.
Central banks and fiscal authorities in open economies have to take full account of how their policies interact with exchange rates, international capital flows and trade flows. At the same time, openness leads to opportunities such as lower costs of finance and greater possibilities for addressing intergenerational inequalities through sovereign wealth funds.
Our research involves interaction and collaboration with policymakers throughout the Asia-Pacific region and elsewhere to develop useful models for economic policy analysis from a global perspective.
Listen to our podcasts exploring important perspectives on global economic policy.
Nigel McClung is a Research Economist in the Research Unit of the Bank of Finland. He was awarded a PhD in Economics at the University of Oregon in 2018, and joined the Bank of Finland in the same year. His main research interests include adaptive learning, monetary-fiscal policy interactions and non-linear DSGE models.
What should students know before applying for a PhD in economics? Do you have to get a PhD in the United States if your goal is to work in Australia? In this podcast, Nigel McClung, a recent PhD graduate and a research economist at the Bank of Finland, shares his experiences from applying for a PhD to navigating the job market and what it's like to work in the Bank of Finland. The speakers in this podcast, with their diverse backgrounds (three countries, varying levels of maths preparation before grad school, different research interests etc.) make for a rich and inspiring discussion relevant for students and young professionals alike.
Dr Galina Hale has been a Research Advisor at the Federal Reserve Bank of San Francisco since 2006. Prior to this she was an Assistant Professor in the Economics Department at Yale University. She received her PhD in economics in 2002 from the University of California, Berkeley. Dr Hale specialises in international finance, international banking, and capital flows. She is an Associate Editor of the Journal of International Economics.
What is the role of economic research in policy institutions? Having worked for the Federal Reserve Bank of San Francisco for more than 13 years, Galina Hale shares her insights into the cross-fertilisation between research and policy work. She discusses the use of economic research in the conduct of policy, having been at the Fed during the global financial crisis, the sources of the European sovereign debt crisis and the future of the euro, Brexit, and other issues at the nexus of macroeconomics and international finance.
Dr Junior Maih is a Senior Adviser at the Norges Bank and adjunct Associate Professor at the BI Norwegian Business School. His recent work has focused on DSGE models with regime switching. Aside from his research in macroeconomics, Dr Maih also regularly contributes to development of the modelling software Dynare.
How can we model for a change in the behaviour of economic agents over time? Dr Junior Maih discusses how the development of models with regime switching has the potential to assist our understanding of macroeconomics and improve forecasting over standard constant parameter models. He also outlines some of the modelling pitfalls researchers may face, and highlights the increasing importance of software as part of the economist's toolkit.
Gianni Amisano is Chief of the Current Macroeconomic Conditions Section of the Research and Statistics Division of the Board of Governors of the Federal Reserve System. He is also a senior fellow at the Rimini Centre for Economic Analysis.
Amisano's main research interests include Bayesian inferential techniques, financial time series models, structural VAR models, mixture models and their applications, econometric forecasting, time varying parameter models, panel data, and estimation of DSGE models.
Disclaimer: All views expressed by Gianni Amisano are his only and do not necessarily represent the views of the Federal Reserve System.
How do a machine and human intelligence differ when they make economic forecasts? What are the key strengths and weaknesses in the macroeconomic models the Fed uses today? Gianni Amisano, Chief of the Current Macroeconomic Conditions Section at the Federal Reserve Board, explains how the right balance between humans and machine depends on, among other things, whether we want point or density forecasts, the specific uncertainty we face, and how quickly we need to update our beliefs. He also offers insights into the usefulness of the "rational expectations" assumption and the merits of incorporating financial frictions into macroeconomic models.
Current Macroeconomic Conditions, Federal Reserve Bank, United States
Data and indicators, Federal Reserve Bank of New York.
Find out more about our activities.
Eli Remolona is the former Regional Head for Asia of the Bank for International Settlements and current Visiting Professor at Williams College’s Center for Economic Development. He is the world-leading expert on how financial markets respond to information released by policymakers. His public lecture explores how to improve central bank communication.
A public lecture by Dr Perry Warjiyo, Governor of Bank Indonesia, followed by a Q&A moderated by Dr Luci Ellis, Assistant Governor (Economic) at the Reserve Bank of Australia.
During the global financial crisis of 2008, several central banks, being aware of the conditions that new global economic conjuncture necessitated, decided to modify their existing monetary policy framework by enhancing other policies such as macroprudential policy, exchange rate policy, capital-flows management, fiscal policy coordination and structural adjustment stimulus. This policy is now called policy mix – its approach is preserving the main objective of achieving and maintaining price stability while safeguarding financial stability as a supporting objective.