• THE AUSTRALIAN NATIONAL UNIVERSITY 70/1972

FACULTY OF ECONOMI°CS

DEPARTMENT OF ECONOMICS

ANNUAL REPORT 1971

General issues

The Department now has almost one thousand students enrolled in courses given by its staff members - ranging from first year students through to Master's course work and Ph.D. candidates. Thus the control of the size of the Department has become a matter of substance. In 1972 the Faculty will seek to limit growth of student numbers by tightening up administrative procedures affecting entry. In 1973 part-time students will not be enrolled within one year of leaving school (save in special cases). For 1974 it is likely that more extensive methods of limiting entry will be required.

In 1971 the Faculties of Economics and of Science approved a proposal from a joint committee for a new Science­Economics programme for the B.Ec degree. This three year course offers the opportunity to study in some chosen field of science (e.g. geology) along with both economics and mathematics. One feature of the programme is that the student can design a course which, for his first two years is acceptable towards either a B.Sc or B.Ec degree - thus postponing until the start of his third and final undergraduate year a decision whether to study for the B.Sc or the B.Ec. It is hoped that the combination of study in mathematics, economics and experimental science will prove an attractive intellectual training for future administrators.

Courses

Economics III : Project Work

For the past four years, the Department has been running, in conjunction with the Economics III Distinction course, a programme which involves students in the preparation of small research assignments on some aspect of theory or policy connected with the mainstream coursework. ~his project work, originally introduced on an experimental basis because it can be extremely costly of student and teacher time, has become a permanent feature of the Economics III Distinction programme. The object was initially to introduce advanced students to the application of theory to policy problems and later the empirical testing of theory in Australian circumstances. Because of the time-consuming nature of empirical research in inexperienced hands, there is a closely supervised schedule

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for designing the research projects and completing them. In some areas students work jointly on various aspects of one problem; for example, in the preparation of a 'White Paper on Australia's Foreign Trade' or on empirical evaluation of the incidence of factor reversal. This too requires close co-ordination. The programme is now well established and there appears to be considerable student enthusiasm for it.

Examination results

The following table shows enrolments (April figures) in the Economics major since 1966. The concluding two columns show the . number . of students sitting in November 1971 and the percentage of these who passed. (Fuller information on student performance is given in the concluding Table at the end of this report.)

Enrolments (April) Sat Examination November, 1971

Year 1 66 1 67 1 68 .:.§2. '70 '71 No. % Pass

First year (I & A) 321 322 405 451 468 529 417 71%

Economics II 90 88 104 133 187 175 156 95%

Economics III 60 64 87 86 114 155 151 95%

Student Participation

In a large D~partment, the question of effective staff­student contact is of special importance. Thus, while student representatives have met each term with the Head of Department, greater importance is attached to the fact that students do regard the staff as readily approachable. Measures taken to maintain effective contact have included special tutorials and participation in lunch-hour sessions organised by the students' Faculty Club.

Postgraduate

There were 4 students enrolled in preliminary courses preparatory to seeking admission to the Master's course.

16 students were enrolled in the M.Ec coursework programme-to which this Department contributes along with other participating Departments.

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i students were working on their MaBter's theses:

Mr G. Ford, "The Growth and Extension of the Australian Tariff on Cloth and Yarn." (Supervisor: Dr P. Drysdale.)

Mr B. Piper, "The Role of Japanese Trading in Resource Oriented Foreign Investment." (Supervisor: Dr P. Drysdale.)

Mr A. Langdren, "The Effect of General Trade Preferences for Less Developed Countries on Australian Exports." (Supervisor: Dr P. Drysdale.)

Mrs C. Selby-Smith, "The Competitiveness of Japan, United Kingdom and the United States of America in the Australian Import Market. 11 (Supervisor: 'Dr P. Drysdale.)

Mr David Elder, "Investment in the Australian Aluminium I.ndustry." (Supervisor: Dr C. Tisdell.)

10 students worked on Ph.D theses:

Mr J. Logan, "Optimal Growth in Neoclassical Models." ( Supervi·sor: Professor J. Pitchford. )

Miss J. Hirst, "Foreign Capital Inflow." (Supervisor: Professor B. Cameron.)

Mr N. Lam, "Export Instability and the Economy of West Malaysia and Thailand." (Supervisor: Dr P. Drysdale.~

Mr N. Vousden, "Natural Resources in a Growth Model." (Supervisor: Professor J. Pitchford.)

Mr R. Garnaut, "Australian Trade with South East Asia: A Study of Special Country Biases in Bilateral Trade." (Supervisor: Dr P. Drysdale.)

Mr T. Chisholm, "A Study of the Economic effects of Taxation and other Fiscal Devices on Agricultural Production in Australia." (Supervisors: Dr C. Tisdell, Professor R. Mathews.)

Mr J. Gagg, "Australian Agricultural Commodity Policy 1929 -1968 with particular reference to Wool, Wheat and Dairy Products." (Supervisors: Professor Sir John Crawford, Dr P. Drysdale.)

Mr G. Brennan, "The Theory of Public Goods." (Supervisor: Dr C. Tisdell.)

Mr R. Duncan, "An examination of some economic aspects of research decision-making in the CSIRO Division of Plant Industry." (Supervisor: Dr C. Tisdell.)

Mr B. Forster, "The Economics of Pollution Control." (Supervisor: Professor J. Pitchford.)

Staff

Professors:

Reader:

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B.D. Cameron, M.Ec. (Syd), Ph.D. (Cantab) J .D. Pitchford, M.Com. (Tas), Ph.D.

C.A. Tisdell, B.Com. (NSW), Ph.D. Senior Lecturers: P. Drysdale, B.A. (N.E.), Ph.D.

Lecturers:

C.T. Edwards, B.Com. (Melb), Ph.D. D. W. Stammer, M.A. ( N. E. ) , Ph.D. J, Niland (to take up duty 1972), M.Com.(NSW),

Ph.D. (Illinois).

A.H. Chisholm, M.Ag.Sc. (N.Z.) J. Logan, B.Com (Econ), (NSW Newcastle Univ.Coll.) G.C. Ford, B.Com. (Melb) O.G.P. Stanley, B.Ec. (Syd), Ph.D. (ANU) N. Vousden, B.A. (ANU). C. Walsh, M.Sc. (L.S.E.) S . C . B am b r i ck , B . E c . ( Q ' 1 d ) , P h . D . ( AN U )

Senior Tutors: B. Smith, M.A. (Aberdeen) Jill I. Coat, B.Ec. (Adel.) K. Davis, B.Ec., Flinders {S.A.). D.W. James, M.Ec. (ANU).

Research Assistants: Mrs M. Shanahan, B.Com. (NSW) Mrs S. Kaspura, B.A. (Newcastle NSW).

Departmental Research

Professor Cameron completed two books on economic policy, to be published in 1972. During the year he was appointed Dean.

Professor Pitchford published a paper on the average productivity wage adjustment rule. Work is nearing completion on his book on theoretical aspects of population growth and control. He lectured and gave seminars at the Universities of Tasmania and Monash and gave papers at the ANZAAS Conference in May and the Economists' Conference in August.

Dr Tisdell completed his textbook on microeconomics for publication in 1972, and initiated his studies under a grant to work on government policy on industrial research. He will leave the Department in May 1972 to assume a Chair in the University of Newcastle.

Dr Drysdale continued his major work on Pacific area trade, in connection with which he made an overseas trip late in the year. Dr Edwards, returned from sabbatical leave in Bangkok, continued his work on South-East Asian countries. Dr Stammer, who was also subdean of the Faculty, continued his main interests in monetary policy and inflation theory.

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Mr Logan continued his work in mathematical economics. Mr Stanley completed his Ph.D. thesis. Mr Chisholm worked on the economic effects of taxation of Australian primary producers. Mr Ford completed his Master's thesis on the effect of tariffs on the textile industry. Mr Vousden continued his work on natural resource use, on which he delivered a paper at the Economists' August conference. Mr Walsh continued working on his Ph.D thesis. Dr Bambrick was actively engaged in preparing material for the semester programme on resources policy in 1972.

Seminars

Professor Pitchford convened a series of seminars.

Visitors included Professor Murray Kemp, University of N.S.W.; Professor D.C. Rohan, Southampton University; Professor K. Hancock, Flinders University; Professor J. Helliwell, University of British Columbia; Dr M. Corden, Nuffield College·, Oxford; Dr Colin Clark, Monash University.

Seminars in third term were devoted to problems of the economics of population, the environment, and pollution. Papers were presented by Professor Berrie (population), Dr W.M. Neutze (pollution control), Dr P. Ellyard (ecology), Mr N. Vousden (exhaustible resources).

Publications

Bambrick, Susan C.; "Australia's Mineral Sands Industry -Economic Perspective", 43rd Anzaas Congress, Brisbane, May 1971.

C am e r on , B . D . ,

Chisholm, A.H.,

Forster, B.A.,

"Australian Price Levels, 1890-1970". 43rd Anzaas Congress, Brisbane, May 1971.

"An Economic Analysis of the Proposed Cooloola Sands Mining Project: A Comment." Economic Analysis and Policy, March 1971, pp.30-48.

"Measuring the Effects of the Tariff", The Economic 'Record, March 1971, pp .119-123.

"A Comparison of Income _Averaging Procedures for In.come Tax Purposes", The Aust.ralian Journal of Agricultural Economics, Vol.15, April 1971, pp.36-50.

"Optimal Consumption Planning in a Polluted Environment", Working Paper No. 5, Dept. of Economics, A.N.U.

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Garnaut, R., "The Balance o:f Trade, Comparative Advantage, and Development Priorities", Search, Vol.l, 'No. 5, November 1970 • PP. 272-274 ·

"Policy for Timber Processing", Bulletin of Indonesian Economic Studies, Vol.VII, No.3, November 1971, pp.144-146.

Pitcbford, J.D., "The Usefulness of the Average . productivity Wage Adjustment Rule", Economic Record, June, 1971, pp . 255-261 .

Smith, B., " Immi gration Policy: A Survey of the Issues", The Australian Quarterly, June, 1971, pp.8-15.

Stammer, D.W., "A Further Comment on Potential Money as a Monetary Indication", Economic Record, V.47, No.119, September 1971, pp.433-436.

Tisdell, C.A., "Efficiency and Decreasing Cost Industries", Australian Economic Papers, December 1970, No.15, Vol.9., pp . 256-272.

"Economic Policy, Forecasting and Flexibility", Weltwirtschaftliches Archiv, Vol.106, 1971, pp.34-54.

"Research and Technical Progress: The Returns to Producers", (with R. Duncan), The Economic Record, March 1971, pp.124-129.

"Commonwealth Industrial Research and Develop­ment Grants - An Economic Evaluation", Economic Analysis and Policy, September 1971, No.2, Vol.2, pp.27-50.

"Rules versus Discretion - A Note on Economic Policy" in Nevile, J., and Stammer D.W., (eds.), Inflation and Unemployment, Penguin, 1971.

Vousden, N., "A Macroeconomic Model o:f Natural Resource Use"·, Paper presented to the Second Australian Conference o:f Economists, 16th - 19th August, 1971.

Subject Enrolled or Unit as at

30.4.71

Economics No. 479 I % (100)

Economics 50 A (100)

Economics 175 II (100)

Economics 155 III (100)

Agric. 40 P. & P. (100)

Agric. 48 Nat.Econ. (100)

Math.Econs. '31 A (100)

Math.Econs. 22 I (100)

Final Honours

Masters Qualifying

Ph.D.

. .. 0 '

• THE AUSTRALIAN NATIONAL UNIVERSITY 70/1972

DEPARTMENT OF ECONOMICS ANALYSIS OF % of Number Enrolled

Sitting Wastage Failure Sitting

355 124 112 355 (74.1) (25.9) (23.4) (100)

61 10 61 (122.0) (20.0) (100)

156 19 8 156 (89.1) (10.9) ( 4. 6) (100)

151 4 7 151 (97.4) ( 2. 6) ( 4. 5) (100)

39 1 8 39 (97.5) ( 2. 5) (20.5) (100)

42 6 6 42 (87.5) (12.5) (12.5) (100)

23 8 3 23 (74.2) (25.8) ( 9. 7) (100)

21 1 2 21 ( 95. 5) ( 4 • 5 ) (9.1) (100)

Enrolled Sittinfi 6 6

4 4

10

STUDENT PERFORMANCE 7. % of Number Sitting High Dis tine-tion

2 ( 0. 6)

0

1 ( 0 . 7 )

1 ( 4. 3)

Distinc- Credit Pass Pass Fail tion with

Merit

12 16 33 180 112 ( 3. 4) ( 4. 5) ( 9. 3) (50.7)(31.5)

8 43 10 (13.1) (70.5)(16.4)

14 8 19 107 8 ( 9. 0) ( 5 .1) (12.2) (68.6)(5.1)

8 17 18 100 7 ( 5 • 3 ) (11.3)(11.9) (66.2)(4.6)

3 6 22 8 ( 7 . 7 ) (15.4) (56.4)(20.5)

4 7 25 6 ( 9 . 5 ) (16.7) (59.5)(14.3)

2 1 16 3 ( 8. 7) ( 4. 3) (69.6)(13.1)

1 3 13 2 ( 5 . 3 ) (15.8) (68.4)(10.5)

Result 3 First Class Honours 1 Hon.III 2 Part-time (results 1972)

4 to proceed to 2nd year _Masters qua~ifying

1 submitted 1971

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