CoPS/IMPACT Working Paper Number G-213

Title: The Distributional Effects of the Hilmer Reforms on the Australian Gas Industry

Authors: George Verikios and Xiao-guang Zhang


We analyse changes in the Australian gas industry during 1990s that were driven by the Hilmer Reforms. We estimate the direct and indirect effects on household income of these gas industry changes by combining a computable general equilibrium model with a microsimulation model in a two-stage simulation procedure. The changes lead to minor effects on household income in all regions due to the unimportance of the gas industry at that time. Some regions benefit from the changes and some lose. Income inequality is only slightly affected by the changes.

JEL classification: C68, C69, L94, D31.

Please cite the later published version in:
Australian Journal of Agricultural and Resource Economics, vol. 57, iss. 2, 2013, pp. 159-77.

Keywords: computable general equilibrium, gas, household income distribution, microeconomic reform, microsimulation.

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