Interaction between interest rate, credit and asset prices

Crawford School of Public Policy | Centre for Applied Macroeconomic Analysis

Event details

Seminar

Date & time

Thursday 18 April 2019
11.00am–12.00pm

Venue

Seminar Room 2, Crawford School of Public Policy, 132 Lennox Crossing, ANU

Speaker

Daniel Silva Withmory, PhD Student, CAMA

Contacts

Rossana Pinto
61 2 6125 8108

In this seminar, Daniel Silva Withmory will present his paper that assesses the interaction between monetary policy, credit and asset prices in Australia, using a FAVAR approach. Two assets prices are considered: share and housing prices. The results provide quantitative estimates of the effect of changes in the cash rate on asset prices and the collateral effects of this policy on other economic variables such as GDP, prices, consumption and employment. The paper also presents results on the different responses of housing and share prices to a credit shock. This study also finds a statistically significant positive response of credit and consumption to an increase in asset prices.

Daniel Silva Withmory is a PhD student in Economics at CAMA in the Crawford School of Public Policy. His thesis focuses on empirical studies on macroeconomic policy.

The CAMA Macroeconomics Brown Bag Seminars offer CAMA speakers, in particular PhD students, an opportunity to present their work in progress in front of their peers, and reputable visitors to showcase their work.

Updated:  18 August 2019/Responsible Officer:  Crawford Engagement/Page Contact:  CAP Web Team