Research Discussion Paper – RDP 2004-09 Co-Movement of Australian State Business Cycles

Contents

• Introduction
• Previous Research and Data Issues
• Statistical Approaches
• An Unobserved Components Model
• Model Results
• Conclusion
• Appendix A: Industrial Structure and Cyclical Co-movement
• Appendix B: Further Unobserved Components Model Results
• Appendix C: Gross State Product and Hours Worked
• Appendix D: Data Sources
• References

We are grateful to Andrew Stone, Jacqui Dwyer, Jonathan Kearns, Marion Kohler, Tony Richards, Michael Kouparitsas and Adrian Pagan for their help and advice, and to Lyn Grivell for research assistance. We also thank seminar participants at the 2004 Australasian Meeting of the Econometric Society, and colleagues at the Reserve Bank of Australia, for helpful comments. Any errors are ours alone. The views expressed herein are those of the authors and do not necessarily reflect the views of the Reserve Bank of Australia.