Research Discussion Paper – RDP 2013-07 An Empirical BVAR-DSGE Model of the Australian Economy

Contents

• Introduction
• The DSGE Model
• Estimating the Models
• Forecasting
• Results
• Conclusions
• Appendix A: Log-linearised Equations of the Model
• Appendix B: Steady State
• Appendix C: Data Definitions
• Appendix D: Further Results
• References

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Our thanks in particular to Michael Robson, James Morley and Adrian Pagan. Jarkko Jääskelä provided valuable advice and assistance. Thanks to our discussant, Farshid Vahid, and participants at the VAR Workshop held by the University of Tasmania in February 2012 for useful comments. Penelope Smith and Bruce Preston gave feedback on an earlier version.