Intra & Inter-Regional Industry Shocks: A New Metric with an Application to Australasian Currency Union

Arthur Grimes ()

Macroeconomics from EconWPA

Abstract: We place regional industry structures at centre stage in currency union analysis, decomposing differences between regional and aggregate cycles into 'industry structure' and 'industry cycle' effects. The industry structure effect indicates whether a region's industry structure causes its cycle to deviate from the aggregate; the industry cycle effect indicates the importance of region-specific shocks in causing a deviation between cycles. We apply the methodology to Australasia. One region, ACT, has a material industry structure effect arising from its heavy central government concentration. No other region has a material industry structure effect; their cycles differ from the aggregate due to region-specific shocks.

JEL-codes: E32 E52 F36 R11 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-mac
Date: 2005-09-12
Note: Type of Document - pdf; pages: 32
View list of references View citations in EconPapers

Downloads: (external link)
http://129.3.20.41/eps/mac/papers/0509/0509019.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:wpa:wuwpma:0509019

Access Statistics for this paper

More papers in Macroeconomics from EconWPA
Series data maintained by EconWPA ().