Monetary Policy (HSC SSCE Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
Which institution conducts monetary policy in Australia?
Which institution conducts monetary policy in Australia?
Reserve Bank of Australia
What are the three formal objectives of monetary policy under the Reserve Bank Act 1959?
What are the three formal objectives of monetary policy under the Reserve Bank Act 1959?
Currency stability, full employ, prosperity
What dual mandate did the 2023 RBA review recommend focusing on?
What dual mandate did the 2023 RBA review recommend focusing on?
Price stability and full employment
What is the RBA's specific inflation target range?
What is the RBA's specific inflation target range?
2-3% annual inflation
Why does giving the central bank independence help monetary policy?
Why does giving the central bank independence help monetary policy?
Insulates decisions from political pressure
What has inflation averaged since the inflation-targeting regime was introduced?
What has inflation averaged since the inflation-targeting regime was introduced?
Around 2.6%
What can occur when the RBA raises interest rates to control inflation?
What can occur when the RBA raises interest rates to control inflation?
Rising unemployment in the short term
How many Board meetings per year after the 2023 review reforms?
How many Board meetings per year after the 2023 review reforms?
8 meetings
Which of these does the RBA monitor when implementing monetary policy?
Which of these does the RBA monitor when implementing monetary policy?
Wages growth, unemployment, GDP, inflation
Why remove 'on average, over time' from the inflation target wording?
Why remove 'on average, over time' from the inflation target wording?
To strengthen RBA accountability