RDP 2010-02: Learning in an Estimated Small Open Economy Model Appendix B: Data Description and Sources

Inflation Equation: trimmed mean consumer price index excluding taxes and interest (RBA).

Consumption (ct): real seasonally adjusted household final consumption expenditure (ABS Cat No 5206.0).

Real exchange rate (Δqt): the change in real trade-weighted exchange rate (RBA).

Nominal interest rate (rt): overnight cash rate, averaged over the quarter (RBA).

Output (yt): real seasonally adjusted non-farm GDP (ABS Cat No 5206.0).

World Output Equation: G7 trade-weighted real GDP (RBA).

World inflation Equation: G7 trade-weighted headline CPI inflation (RBA).

World interest rate Equation: average of euro area, US and Japanese short-term nominal interest rates (RBA).