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Simulating the impact of austerity on the Irish economy using a Stock-Flow Consistent model

16 Apr 2013 - 14:00 to 15:00





Public Policy, Enterprise, Governance and Sustainability (PPEGS) Seminar Series
 

The Public Policy, Enterprise, Governance and Sustainability (PPEGS) Research Theme at the Kemmy Business School is pleased to present its continuing seminar series for the Spring semester. The Seminar series is broadly defined into two sections, the first with a focus on health research & policy and the second on broader policy issues.
We are delighted to continue this series with
 
Dr. Gnanonobodom Tiou-Tagba Aliti
Kemmy Business School, University of Limerick

 
Titled
Simulating the impact of austerity on the Irish economy     
using a Stock-Flow Consistent model

 
Date:  Tuesday April 16th, 14h00-15h00
Venue:  Kemmy Business School, KB1-11

All are welcome to attend with tea and coffee provided before the start of the seminar
 
 Bio:
Dr. G. Tiou-Tagba Aliti  is a Post Doctoral Researcher Fellow at the Kemmy Business School, University of Limerick. He has obtained his Ph.D. in economics in 2010 at Universty  of Paris North and has taught courses in statistics, applied macroeconomics, economics of the firm and macroeconomic analysis as a teaching assistant from 2006 to 2011 at University of Paris 7 (Denis Diderot). He is currently working with Stephen Kinsella (Lecturer KBS, UL) on the INET project : ”Understanding Ireland's Economic Crisis via Stock-Flow Consistent Macroeconomic Models”. He has also worked as a researcher on the the AUGUR, European Commission and European Research Area Project: “Challenges for Europe in the world in 2030 “. His research has been published in peer-reviewed journals such as Metroeconomica and Revue Economique. His main research interests are in Macromodelling and Econometrics, Global Imbalances, International Finance, European Economics, Macroeconomics, Monetary economics, Emerging economies (BRICS) and currently Irish economy.

Abstract:
This paper uses an empirically grounded stock-flow consistent macroeconomic model to assess the impact of a sudden drop in government expenditures on the Irish economy. We are able to use the model to trace the development of the shock through the Irish economy. We show that a sharp, one period reduction in public expenditure by 11.5% would lead to a decrease in the liabilities of Irish government securities other than shares of about 14%, along with other effects like a decrease in household income, reductions in consumption and a slowdown of growth.
Other upcoming dates for the Public Policy, Enterprise, Governance and Sustainability Seminar Series include
 
Date Presenter Affiliation Seminar Title Time and Location
23/04/2013 Colm McCarthy UCD School of Economics Bank Resolution and Sovereign Sustainability 2-3pm, KB1-11