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MARTIN Has Its Place: A Macroeconometric Model of the Australian Economy
Author(s) -
Ballantyne Alexander,
Cusbert Tom,
Evans Richard,
Guttmann Rochelle,
Hambur Jonathan,
Hamilton Adam,
Kendall Elizabeth,
McCririck Rachael,
Nodari Gabriela,
Rees Daniel M.
Publication year - 2020
Publication title -
economic record
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.365
H-Index - 42
eISSN - 1475-4932
pISSN - 0013-0249
DOI - 10.1111/1475-4932.12531
Subject(s) - rigour , counterfactual thinking , economics , macroeconomics , balance (ability) , economy , macroeconomic model , realism , keynesian economics , mathematics , epistemology , medicine , art , philosophy , geometry , literature , physical medicine and rehabilitation
This paper introduces MARTIN, the Reserve Bank of Australia's new model of the Australian economy. MARTIN is an economy‐wide model used for forecasting and counterfactual scenario analysis. In contrast to other models used at the Bank (and at many other central banks) which adhere to a narrow theoretical view of how the economy operates, MARTIN is a macroeconometric model that consists of a system of reduced‐form equations built to strike a balance between theoretical rigour and empirical realism. We provide an overview of the model, describe its main equations and demonstrate its responses to various scenarios.