title: Credit Loss Dynamics in Australasian Banking

authors: Hess, Kurt

subjects: Credit risk

abstract: The purpose of this thesis is to analyze the drivers and dynamics of credit losses in Australasian banking over an extended period of time in order to improve the means by which financial institutions manage their credit risks and regulatory bodies safeguard the stability and integrity of the financial system.
The analysis is based on a specially constructed data base of credit loss and provisioning data retrieved from original financial reports published by Australian and New Zealand banks. The observation period covers 1980 to 2005, starting at the time when such information was published for the first time in bank financial statements. It moreover covers the time of major crises which occurred in both Australia and New Zealand in the late 1980s and early 1990s.
The heterogeneity of reporting the data both amongst banks and through time requires the development of a reporting typology which allows data extraction with equivalent informational content. As a thorough study of credit risks requires long data series often not available from third party data providers, the method developed here will provide value to a range of researchers.
Based on an evaluation of many alternative proxies which track a bank's credit loss experience (CLE), the thesis proposes a preferred model for impaired assets expense (as % of loans) as dependent variable, mainly because of its timely nature and good data availability. Explanatory variables include aggregate macro variables of which changes in unemployment and the return in the share markets are found to have the most significant influence on a bank's credit losses. Bank-specific control variables include a pre-provision earnings proxy whose significance points to the use of provisions for the purpose of income smoothing by Australasian banks. The model also controls for size and nature of lending as smaller, retail-oriented housing lenders, on average, exhibit lower loan losses. Clear results are found with regard to the effect of rapid expansion which appears to be followed by a surge of bad debt provisions 2 to 3 years later. Moreover, inefficient banks tend to suffer greater credit losses.
An important part of the thesis looks at the characteristics of alternative CLE proxies such as stock of provisions, impaired assets and write-offs which have been used by earlier literature. Estimating the preferred model with such alternative CLE parameters confirms their peculiarities such as the memory character of stock of provisions and the delayed nature of write-offs. These measures correlate rather poorly amongst themselves which calls for caution in the comparative interpretation of earlier studies that use differing CLE proxies.

text: Credit Loss Dynamics in Australasian Banking The purpose of this thesis is to analyze the drivers and dynamics of credit losses in Australasian banking over an extended period of time in order to improve the means by which financial institutions manage their credit risks and regulatory bodies safeguard the stability and integrity of the financial system.
The analysis is based on a specially constructed data base of credit loss and provisioning data retrieved from original financial reports published by Australian and New Zealand banks. The observation period covers 1980 to 2005, starting at the time when such information was published for the first time in bank financial statements. It moreover covers the time of major crises which occurred in both Australia and New Zealand in the late 1980s and early 1990s.
The heterogeneity of reporting the data both amongst banks and through time requires the development of a reporting typology which allows data extraction with equivalent informational content. As a thorough study of credit risks requires long data series often not available from third party data providers, the method developed here will provide value to a range of researchers.
Based on an evaluation of many alternative proxies which track a bank's credit loss experience (CLE), the thesis proposes a preferred model for impaired assets expense (as % of loans) as dependent variable, mainly because of its timely nature and good data availability. Explanatory variables include aggregate macro variables of which changes in unemployment and the return in the share markets are found to have the most significant influence on a bank's credit losses. Bank-specific control variables include a pre-provision earnings proxy whose significance points to the use of provisions for the purpose of income smoothing by Australasian banks. The model also controls for size and nature of lending as smaller, retail-oriented housing lenders, on average, exhibit lower loan losses. Clear results are found with regard to the effect of rapid expansion which appears to be followed by a surge of bad debt provisions 2 to 3 years later. Moreover, inefficient banks tend to suffer greater credit losses.
An important part of the thesis looks at the characteristics of alternative CLE proxies such as stock of provisions, impaired assets and write-offs which have been used by earlier literature. Estimating the preferred model with such alternative CLE parameters confirms their peculiarities such as the memory character of stock of provisions and the delayed nature of write-offs. These measures correlate rather poorly amongst themselves which calls for caution in the comparative interpretation of earlier studies that use differing CLE proxies.

year: 2008

title: The anatomy of an andesite volcano: a time-stratigraphic study of andesite petrogenesis and crustal evolution at Ruapehu Volcano, New Zealand

authors: Price, Richard C.

subjects: andesite

abstract: Ruapehu, New Zealand’s largest active andesite volcano, is located at the southern tip of the Taupo Volcanic Zone (TVZ), the main locus of subduction-related volcanism in the North Island. Geophysical data indicate that crustal thickness increases from <25 km within the TVZ to 40 km beneath Ruapehu. The volcano is built on a basement of Mesozoic meta-greywacke, and geophysical evidence together with xenoliths contained in lavas indicates that this is underlain by oceanic, meta-igneous lower crust. The present-day Ruapehu edifice has been constructed by a series of eruptive events that produced a succession of lava flow-dominated stratigraphic units. In order from oldest to youngest, these are the Te Herenga (250–180 ka), Wahianoa (160–115 ka), Mangawhero (55–45 ka and 20–30 ka), and Whakapapa (15–2 ka) Formations. The dominant rock types are plagioclase- and pyroxene-phyric basaltic andesite and andesite. Dacite also occurs but only one basalt flow has been identified. There have been progressive changes in the minor and trace element chemistry and isotopic composition of Ruapehu eruptive rocks over time. In comparison with rocks from younger formations, Te Herenga eruptive rocks have lower K₂O abundances and a relatively restricted range in major and trace element and Nd–Sr isotopic composition. Post-Te Herenga andesites and dacites define a Sr–Nd isotopic array that overlaps with the field for TVZ rhyolites and basalts, but Te Herenga Formation lavas and the Ruapehu basalt have higher ¹⁴³Nd/¹⁴⁴Nd ratios. The isotopic, and major and trace element composition of Te Herenga andesite can be replicated by models involving mixing of an intra-oceanic andesite with a crustal component derived from a meta-igneous composition. Post-Te Herenga andesites show considerable variation in major and trace element and Sr and Nd isotopic compositions (⁸⁷Sr/⁸⁶Sr ranges from 0•7049 to 0•7060 and ¹⁴³Nd/¹⁴⁴Nd from 0•51264 to 0•51282). The range of compositions can be modeled by assimilation–fractional crystallization (AFC) involving meta-greywacke as the assimilant, closed-system fractionation, or by mixing of intra-oceanic andesite or basalt and a meta-greywacke crustal composition. Plagioclase and pyroxene compositions vary over wide ranges within single rocks and few of these have compositions consistent with equilibration with a melt having the composition of either the host-rock or groundmass. The ⁸⁷Sr/⁸⁶Sr compositions of plagioclase also vary significantly within single whole-rock samples. Glass inclusions and groundmasses of andesitic rocks all have dacitic or rhyolitic major and trace element compositions. The application of various mineral geothermometers and geobarometers indicates pre-eruption temperatures between 950 and 1190°C and pressures ranging from 1 to 0•2 GPa. These pressure estimates are consistent with those obtained from xenolith mineral assemblages and geophysical information. Plagioclase hygrometry and the paucity of amphibole are indications that melts were relatively dry (< 4 wt % H₂O). Magmas represented by Ruapehu andesites were dacitic or rhyolitic melts carrying complex crystal and lithic cargoes derived from the mantle and at least two crustal sources. They have evolved through a complex interplay between assimilation, crystal fractionation, crustal anatexis and magma mixing. Parental magmas were sourced in both the mantle and crust, but erupted compositions very strongly reflect modification by intracrustal processes. Geochemical variation in systematically sampled lava flow sequences is consistent with random tapping of a complex plumbing system in which magma has been stored on varying time scales within a plexus of dispersed reservoirs. Each magma batch is likely to have had a unique history with different sized magma storages evolving on varying time scales with a specific combination of AFC and mixing processes.

text: The anatomy of an andesite volcano: a time-stratigraphic study of andesite petrogenesis and crustal evolution at Ruapehu Volcano, New Zealand Ruapehu, New Zealand’s largest active andesite volcano, is located at the southern tip of the Taupo Volcanic Zone (TVZ), the main locus of subduction-related volcanism in the North Island. Geophysical data indicate that crustal thickness increases from <25 km within the TVZ to 40 km beneath Ruapehu. The volcano is built on a basement of Mesozoic meta-greywacke, and geophysical evidence together with xenoliths contained in lavas indicates that this is underlain by oceanic, meta-igneous lower crust. The present-day Ruapehu edifice has been constructed by a series of eruptive events that produced a succession of lava flow-dominated stratigraphic units. In order from oldest to youngest, these are the Te Herenga (250–180 ka), Wahianoa (160–115 ka), Mangawhero (55–45 ka and 20–30 ka), and Whakapapa (15–2 ka) Formations. The dominant rock types are plagioclase- and pyroxene-phyric basaltic andesite and andesite. Dacite also occurs but only one basalt flow has been identified. There have been progressive changes in the minor and trace element chemistry and isotopic composition of Ruapehu eruptive rocks over time. In comparison with rocks from younger formations, Te Herenga eruptive rocks have lower K₂O abundances and a relatively restricted range in major and trace element and Nd–Sr isotopic composition. Post-Te Herenga andesites and dacites define a Sr–Nd isotopic array that overlaps with the field for TVZ rhyolites and basalts, but Te Herenga Formation lavas and the Ruapehu basalt have higher ¹⁴³Nd/¹⁴⁴Nd ratios. The isotopic, and major and trace element composition of Te Herenga andesite can be replicated by models involving mixing of an intra-oceanic andesite with a crustal component derived from a meta-igneous composition. Post-Te Herenga andesites show considerable variation in major and trace element and Sr and Nd isotopic compositions (⁸⁷Sr/⁸⁶Sr ranges from 0•7049 to 0•7060 and ¹⁴³Nd/¹⁴⁴Nd from 0•51264 to 0•51282). The range of compositions can be modeled by assimilation–fractional crystallization (AFC) involving meta-greywacke as the assimilant, closed-system fractionation, or by mixing of intra-oceanic andesite or basalt and a meta-greywacke crustal composition. Plagioclase and pyroxene compositions vary over wide ranges within single rocks and few of these have compositions consistent with equilibration with a melt having the composition of either the host-rock or groundmass. The ⁸⁷Sr/⁸⁶Sr compositions of plagioclase also vary significantly within single whole-rock samples. Glass inclusions and groundmasses of andesitic rocks all have dacitic or rhyolitic major and trace element compositions. The application of various mineral geothermometers and geobarometers indicates pre-eruption temperatures between 950 and 1190°C and pressures ranging from 1 to 0•2 GPa. These pressure estimates are consistent with those obtained from xenolith mineral assemblages and geophysical information. Plagioclase hygrometry and the paucity of amphibole are indications that melts were relatively dry (< 4 wt % H₂O). Magmas represented by Ruapehu andesites were dacitic or rhyolitic melts carrying complex crystal and lithic cargoes derived from the mantle and at least two crustal sources. They have evolved through a complex interplay between assimilation, crystal fractionation, crustal anatexis and magma mixing. Parental magmas were sourced in both the mantle and crust, but erupted compositions very strongly reflect modification by intracrustal processes. Geochemical variation in systematically sampled lava flow sequences is consistent with random tapping of a complex plumbing system in which magma has been stored on varying time scales within a plexus of dispersed reservoirs. Each magma batch is likely to have had a unique history with different sized magma storages evolving on varying time scales with a specific combination of AFC and mixing processes.

year: 2012

title: Exploring the experiences of Māori Wāhine in a STEM project-based secondary classroom: A relational and intersectional perspective

authors: Cheryl, Mitchell

abstract: Using phenomenology, an intersectional lens, and the principles of Kaupapa Māori research, this study investigates how young Māori (Indigenous) wāhine (women) ākonga (students) experience interdisciplinary project-based STEM education. Historical educational policies in Aotearoa New Zealand required Māori to assimilate into a Pākehā (European) school system, contributing to persistent academic underperformance, particularly in science. Māori have been more likely to leave school early, and those who remain often opt out of science subjects, especially Māori wāhine. International literature suggests that transdisciplinary STEM education grounded in social justice and equity can improve engagement and outcomes for underrepresented learners. The study was guided by two questions: (1) how Māori wāhine experienced the STEM programme, and (2) what their challenges were to succeed in STEM.

In 2016, while teaching at a low-decile (socioeconomic disadvantaged), urban, co-educational English-medium high school, I trialled an integrated, interdisciplinary project-based STEM class that incorporated meaningful phenomena and culturally responsive pedagogy. The class’s success led to STEM becoming a core component of a broader school initiative. In 2018, the seven Māori wāhine ākonga enrolled in the Year 11 (age 15–16) STEM class were invited to become “Story Sharers” and reflect on their experiences. As a teacher-researcher (insider), I used reflexive practices and clear role delineation to leverage contextual knowledge while minimising bias. Narrative data were collected over two years (2018–2019) through six semi-structured discussion groups and one individual interview. Quantitative data included tracking attendance records, retention, and academic achievement.

Findings indicate that the Story Sharers valued co-constructed topics and tasks, a supportive whānau (family/community) class format, and authentic project work undertaken over extended learning periods. They consistently identified strengthened relationships, particularly among peers as central to engagement, wellbeing, motivation to learn, and as the most salient indicator of success. Academic performance increased relative to prior Year-10 e-asTTle (Electronic Assessment Tool for Teaching and Learning in mathematics, reading, and writing) benchmarks, alongside improved STEM class attendance, retention in school, and intentions to continue in STEM.

Interpretive thematic analysis using an intersectional lens revealed that racism, stereotyping, and impacts on wellbeing were significant barriers to learning. These discriminatory experiences were pervasive across school, community, and online spaces and were compounded by gendered and intergenerational dynamics. The Story Sharers described complex, fluid, and intersecting identities shaped by lived experiences, including witnessing discrimination against Māori wāhine in their whānau and the legacy of colonial schooling practices such as the suppression of te reo Māori.

In this study, STEM project-based learning was shaped by two interwoven design elements: relational pedagogy and relational thinking. Relational pedagogy prioritised relationships and co-construction within a whānau-formatted classroom. Relational thinking described the interdisciplinary logic of the programme itself, connecting disciplinary knowledge to place, context, and community so that learning is organised around meaningful phenomena rather than siloed subjects. Together, these elements functioned as a counterspace that fostered inclusive engagement, affirmed identities, and supported belonging for Māori wāhine. Grounded in culturally responsive and whānau-based approaches, this model enabled learners to challenge deficit narratives and engage meaningfully in STEM. The outcomes offer assurance that integrated, project-based STEM education, underpinned by these relational frameworks, can improve outcomes for learners whose identities and experiences have been marginalised in traditional schooling. However, policymakers must remain attentive to historical policy barriers and intersectional factors that continue to perpetuate inequities within the education system.

text: Exploring the experiences of Māori Wāhine in a STEM project-based secondary classroom: A relational and intersectional perspective Using phenomenology, an intersectional lens, and the principles of Kaupapa Māori research, this study investigates how young Māori (Indigenous) wāhine (women) ākonga (students) experience interdisciplinary project-based STEM education. Historical educational policies in Aotearoa New Zealand required Māori to assimilate into a Pākehā (European) school system, contributing to persistent academic underperformance, particularly in science. Māori have been more likely to leave school early, and those who remain often opt out of science subjects, especially Māori wāhine. International literature suggests that transdisciplinary STEM education grounded in social justice and equity can improve engagement and outcomes for underrepresented learners. The study was guided by two questions: (1) how Māori wāhine experienced the STEM programme, and (2) what their challenges were to succeed in STEM.

In 2016, while teaching at a low-decile (socioeconomic disadvantaged), urban, co-educational English-medium high school, I trialled an integrated, interdisciplinary project-based STEM class that incorporated meaningful phenomena and culturally responsive pedagogy. The class’s success led to STEM becoming a core component of a broader school initiative. In 2018, the seven Māori wāhine ākonga enrolled in the Year 11 (age 15–16) STEM class were invited to become “Story Sharers” and reflect on their experiences. As a teacher-researcher (insider), I used reflexive practices and clear role delineation to leverage contextual knowledge while minimising bias. Narrative data were collected over two years (2018–2019) through six semi-structured discussion groups and one individual interview. Quantitative data included tracking attendance records, retention, and academic achievement.

Findings indicate that the Story Sharers valued co-constructed topics and tasks, a supportive whānau (family/community) class format, and authentic project work undertaken over extended learning periods. They consistently identified strengthened relationships, particularly among peers as central to engagement, wellbeing, motivation to learn, and as the most salient indicator of success. Academic performance increased relative to prior Year-10 e-asTTle (Electronic Assessment Tool for Teaching and Learning in mathematics, reading, and writing) benchmarks, alongside improved STEM class attendance, retention in school, and intentions to continue in STEM.

Interpretive thematic analysis using an intersectional lens revealed that racism, stereotyping, and impacts on wellbeing were significant barriers to learning. These discriminatory experiences were pervasive across school, community, and online spaces and were compounded by gendered and intergenerational dynamics. The Story Sharers described complex, fluid, and intersecting identities shaped by lived experiences, including witnessing discrimination against Māori wāhine in their whānau and the legacy of colonial schooling practices such as the suppression of te reo Māori.

In this study, STEM project-based learning was shaped by two interwoven design elements: relational pedagogy and relational thinking. Relational pedagogy prioritised relationships and co-construction within a whānau-formatted classroom. Relational thinking described the interdisciplinary logic of the programme itself, connecting disciplinary knowledge to place, context, and community so that learning is organised around meaningful phenomena rather than siloed subjects. Together, these elements functioned as a counterspace that fostered inclusive engagement, affirmed identities, and supported belonging for Māori wāhine. Grounded in culturally responsive and whānau-based approaches, this model enabled learners to challenge deficit narratives and engage meaningfully in STEM. The outcomes offer assurance that integrated, project-based STEM education, underpinned by these relational frameworks, can improve outcomes for learners whose identities and experiences have been marginalised in traditional schooling. However, policymakers must remain attentive to historical policy barriers and intersectional factors that continue to perpetuate inequities within the education system.

year: 2025-10-17