- Published by:
- Department of Treasury and Finance
- Date:
- 1 Apr 2019
Secretary’s foreword
The Department of Treasury and Finance (DTF) provides robust and impartial advice to the Victorian Government about the State’s economic, commercial, financial, budget and resource management. Our analysis supports decisions on the most effective ways government policy development and funding can be used to make Victoria a better place to live, now and into the future.
Victoria’s economy is broadly equivalent to the size of a small OECD (Organisation for Economic Cooperation and Development) nation. Indeed, measured in terms of real gross domestic product (GDP) in 2016, it would be ranked 26th among the 35 OECD member nations, about the size of Hungary and larger than the economies of Iceland, Finland, Luxembourg and New Zealand.1 There are, however, relatively few economic research publications that focus on economic trends in Victoria. This research volume, Victoria’s Economic Bulletin, is designed to provide one such contribution.
DTF has been investing in the Department’s analytical and research capability. This volume provides a snapshot of some of the staff research being undertaken. By publishing it we hope to contribute to the broader public policy debate on important economic issues. We also hope to highlight important trends driving change in the Victorian economy. The articles in this volume are produced by authors to increase awareness about important economic and social trends.2
The first article examines trends in consumer engagement in the Victorian retail electricity sector and delves into the relationship between the annual switching rate and consumption patterns. The second measures the extent of intergenerational mobility in Victoria and compares relative economic mobility at the national level and between states. The third article reviews various methodologies for calculating discount rates that are used to evaluate the net costs and benefits of potential economic projects, and provides up-to-date estimates using each methodology. The final article estimates fiscal multipliers for Victoria and compares these multipliers for consumption and investment expenditure.
I hope the articles provide some insight into the research being undertaken and, perhaps more importantly, start a wider conversation on research into the Victorian economy.
David Martine
Secretary
Footnotes
[1] This is measured in real United States (US) dollars and in constant purchasing-power-parity (PPP) terms.
[2] They reflect the views of the authors and not necessarily those of the Department.
Updated