Policies to Achieve External Stability (HSC SSCE Economics): Quizzes
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Practise the questions
10 questions from this quiz
What does the 'consenting adults' view of the current account suggest?
What does the 'consenting adults' view of the current account suggest?
CADs result from private choices, not policy failures
Why can higher interest rates worsen the current account deficit?
Why can higher interest rates worsen the current account deficit?
They attract capital inflows, raising net primary income outflows
What is the RBA's exclusive focus for monetary policy?
What is the RBA's exclusive focus for monetary policy?
Inflation targeting mandate (2-3% band)
What does fiscal consolidation involve?
What does fiscal consolidation involve?
Running balanced/surplus budgets over the economic cycle
What does 'crowding out' refer to in fiscal policy?
What does 'crowding out' refer to in fiscal policy?
Government borrowing pushes up rates, hurting private borrowers
What will the superannuation guarantee rate reach by July 2025?
What will the superannuation guarantee rate reach by July 2025?
12% of wages
How does superannuation improve the net primary income account?
How does superannuation improve the net primary income account?
Super funds invest overseas, generating financial inflows
Why is microeconomic reform the most comprehensive approach to external stability?
Why is microeconomic reform the most comprehensive approach to external stability?
It addresses structural causes of external imbalances
What did the Government guarantee during the Global Financial Crisis in 2008?
What did the Government guarantee during the Global Financial Crisis in 2008?
All private borrowings of Australian banks
What factor contributed to Australia's shift from current account deficit to surplus?
What factor contributed to Australia's shift from current account deficit to surplus?
End of mining boom investment phase