A simple, structural, and empirical model of the antipodean transmission mechanismFootnote*

This paper was prepared for the 2005 Reserve Bank of New Zealand DSGE Workshop. I wish to thank my discussant Guay Lim, the editor Ian King, and two anonymous referees for comments that improved the paper. Much of the research contained therein was conducted while I was visiting the Economics Department of the RBNZ, for whose hospitality I am extremely grateful. Special thanks go to Aaron Drew, Ozer Karagedikli, Kirdan Lees, Christie Smith, Grant Spencer, and Shaun Vahey. I also like to thank seminar participants at the University of Canterbury and the RBNZ. Any opinions expressed in this paper are those of the author and do not necessarily reflect those of the Federal Reserve Bank of Richmond or the Federal Reserve System.

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• 701 East Byrd Street, Richmond, VA 23219, USA. Tel: +1804 697 8246. Email: [email protected].
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