Monetary Policy in Australia Yr 12

Which organisation conducts monetary policy?

• RBA

• APRA

• BFG

• ASIC

Tightening of monetary policy involves

• decreasing the cash rate

• increasing the cash rate

Easing monetary policy involves

• decreasing the cash rate

• increasing the cash rate

The RBA announces the monetary policy decision on

• The first Tuesday of each week at 2:30pm

• The First Tuesday of each month at 2:30pm

• The First Tuesday of each month at 4:30pm

• The first Tuesday of each week at 4:30pm

Which of the following laws govern the RBA

• The Reserve Act 1959

• The Australian Monetary Fund 1961

• The Australian Monetary Fund 1964

• The Reserve Bank Act 1959

Which of the following is NOT a goal of monetary policy

• Inflation between 2-3%

• Full employment

• Equal distribution of income

• Slow and sustainable economic growth

ES stands for

• Exchange Securities

• Exchange Stocks

• Exchange Settlements

The policy interest rate corridor is defined

• as the cash rate target

• as a floor and a ceiling around the cash rate target in the Australian cash market. 

• a price floor on the cash rate target in the Australian cash market. 

• a price ceiling on the cash rate target in the Australian cash market.

The current RBA cash rate as of 26th July 2023 is

• 4.1%

• 3.85%

• 3.6%

• 3.32%

The inflation rate for Q2 of 2023 is

• 7%

• 6%

• 6.2%

• 7.2%