Structural Adjustment — Exploring the Policy Issues

Much of the recent debate about microeconomic reform in Australia reflects community concern about how adjustment and distributional consequences of reform are handled. In recognition of the importance of these issues, the Productivity Commission commissioned five leading policy analysts — Fred Argy, Malcolm Gray, Wolfgang Kasper, Elizabeth Savage and Cliff Walsh — to prepare papers for a workshop which was held in Canberra in May this year.

These papers form part of the proceedings of the workshop, Structural adjustment — exploring the policy issues, released today.

Around fifty participants attended the workshop including leading academics, senior public servants, consultants, representatives from social and business groups and the union movement.

The proceedings explore some challenging questions for policy makers. These include how adjustment and distribution issues should be dealt with in the process of evaluating specific policy changes and what approaches work best to support the adjustment process associated with implementing policy changes?

The Commission is following up the workshop with a research study setting out its position on key policy issues, to be published early next year. The workshop and subsequent research will also be used to inform the Commission’s approach to its inquiries and wider program of research.

A broad summary of the main points made in the commissioned papers, discussant papers and the general discussion can be found in the overview section of the workshop proceedings. The views expressed in the workshop proceedings are those of the authors and participants and do not necessarily reflect the views of the Productivity Commission.