Search: interest rate
Did you mean
interest rates?
RBA Glossary definition for interest rate
interest rate – The term used to describe the cost of borrowing money or the return to the owner of the funds which are invested or lent out. It is usually expressed as a percent per annum of the amount of money borrowed, lent or invested.
Search Results
MARTIN Has Its Place: A Macroeconometric Model of the Australian Economy
1 Aug 2019
RDP
2019-07
Examples include interest rates, the exchange rate, the expenditure components of real GDP, labour market variables and inflation. ... price growth, growth in the dwelling stock, changes in mortgage interest rates and the rate of inflation.
https://www.rba.gov.au/publications/rdp/2019/2019-07/full.html
Core Equations
23 Aug 2019
RDP
2019-07
price growth, growth in the dwelling stock, changes in mortgage interest rates and the rate of inflation. ... Changes in the cash rate influence economic activity and inflation largely through their effect on other interest rates in the economy.
https://www.rba.gov.au/publications/rdp/2019/2019-07/core-equations.html
Model Dynamics
23 Aug 2019
RDP
2019-07
In the absence of offsetting positive developments, the lower inflation and higher unemployment rate this implies could lead to a reduction in interest rates. ... Therefore, the particular cash rate path that we consider involves a 75 basis point
https://www.rba.gov.au/publications/rdp/2019/2019-07/model-dynamics.html
MARTIN Has Its Place: A Macroeconometric Model of the Australian Economy
1 Aug 2019
RDP
2019-07
Neutral interest rate (rstar). World export price (wpx). World real 2-year interest rate (wr2r). ... World real 2-year interest rate spread to the Australian 2-year interest rate (wr2sp).
https://www.rba.gov.au/publications/rdp/2019/2019-07/read-me.html
MARTIN Has Its Place: A Macroeconometric Model of the Australian Economy
26 Aug 2019
RDP
2019-07
forecasting, interest rates, modelling, money. This paper introduces MARTIN – the Reserve Bank of Australia's (RBA) current model of the Australian economy.
https://www.rba.gov.au/publications/rdp/2019/2019-07.html
References
23 Aug 2019
RDP
2019-07
Hambur J and G La Cava (2018), ‘Do Interest Rates Affect Business Investment? ... Lane K and T Rosewall (2015), ‘Firms' Investment Decisions and Interest Rates’, RBA Bulletin, June, pp 1–7.
https://www.rba.gov.au/publications/rdp/2019/2019-07/references.html
What is MARTIN and What is it Used for?
23 Aug 2019
RDP
2019-07
For example, in MSM, business investment is highly sensitive to interest rates because firms seek to equate the marginal productivity of an incremental unit of capital to its user cost. ... 2007; Lane and Rosewall 2015), although Hambur and La Cava (2018)
https://www.rba.gov.au/publications/rdp/2019/2019-07/what-is-martin-and-what-is-it-used-for.html
Conclusion
23 Aug 2019
RDP
2019-07
RBA staff have used MARTIN scenarios to examine topics including the effects of changes in the labour force participation rate (Evans et al 2019), the consequences of changes in housing prices
https://www.rba.gov.au/publications/rdp/2019/2019-07/conclusion.html
Appendix A: Estimation of Time-varying Constants in Error Correction Equations
23 Aug 2019
RDP
2019-07
Because the expansion of export volumes following a permanent decrease in trade costs or tariff barriers is likely to occur gradually and at an uneven rate, it may not adequately be
https://www.rba.gov.au/publications/rdp/2019/2019-07/appendix-a.html
A Stylised Description of the Model
23 Aug 2019
RDP
2019-07
Examples include interest rates, the exchange rate, the expenditure components of real GDP, labour market variables and inflation. ... The central bank adjusts interest rates to ensure that consumer price inflation equals the inflation target and the
https://www.rba.gov.au/publications/rdp/2019/2019-07/a-stylised-description-of-the-model.html