Forecasting Business Investment Using the Capital Expenditure Survey

Natasha Cassidy, Emma Doherty and Troy Gill
Additional contact information
Natasha Cassidy: Reserve Bank of Australia
Emma Doherty: Reserve Bank of Australia
Troy Gill: Reserve Bank of Australia

RBA Bulletin (Print copy discontinued), 2012, 1-10

Abstract: Business investment is a key driver of economic growth and is currently around record highs in Australia as a share of GDP. In compiling forecasts for business investment, the Reserve Bank uses a variety of different indicators, including information from liaison as well as survey measures of firms’ investment intentions. The most comprehensive survey is the Australian Bureau of Statistics’ (ABS) quarterly survey of Private New Capital Expenditure and Expected Expenditure (Capex survey). While firms’ expectations of capital expenditure from the Capex survey are a useful guide for forecasting business investment, the relatively large forecast errors suggest that the Capex expectations data should be used in conjunction with other sources of information

Keywords: Business investment; capital expenditure; mining investment; forecasting; realisation ratio; machinery & equipment; buildings & structures (search for similar items in EconPapers)
Date: 2012
References: View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.rba.gov.au/publications/bulletin/2012/sep/pdf/bu-0912-1.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: https://EconPapers.repec.org/RePEc:rba:rbabul:sep2012-01

Access Statistics for this article

RBA Bulletin (Print copy discontinued) is currently edited by Luci Ellis

More articles in RBA Bulletin (Print copy discontinued) from Reserve Bank of Australia Contact information at EDIRC.
Bibliographic data for series maintained by Paula Drew ().