RBA Sees 'Reasonable' Growth Prospects

The transcript discusses Australia's economic outlook, highlighting expected moderate economic expansion and diminishing headwinds from the mining sector. Trade and Investment Minister Steven Ciobo warns of global trade slowdown and commodity price volatility. The Reserve Bank of Australia (RBA) notes uncertainties in the labor and housing markets, with underemployment and low inflation as key concerns. Governor Lowe emphasizes the need to balance inflation targets with employment and financial stability, cautioning against rapid policy changes that could lead to economic overheating.

What is the central bank governor's outlook on the economic expansion?

• Rapid growth

• Moderate pace

• Stagnation

• Decline

What is a major concern for the Australian economy according to the trade and investment minister?

• Increasing unemployment

• Rising inflation

• Housing market boom

• Trade slowdown globally

What is a significant risk in the housing market?

• High interest rates

• RBA cutting rates too low

• Excessive foreign investment

• Lack of housing supply

What is Governor Lowe's view on the current economic environment?

• Booming with strong wage growth

• Stable with high inflation

• Complex with weak inflation and wage growth

• Simple and predictable

Why is financial stability a concern for Governor Lowe?

• To encourage more borrowing

• To prevent overheating the economy

• To boost consumer spending

• To increase property taxes