Search: Real interest rate
RBA Glossary definition for Real interest rate
Real interest rate – The real interest rate refers to the cost of borrowing money (i.e. the nominal interest rate) net of inflation. It takes account of the fact that part of the nominal interest that borrowers pay to lenders represents compensation for anticipated inflation. The remaining �real� component better reflects the economic cost of borrowing and the return to lending.
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
It Takes More Than a Bubble to Become Japan | Conference – 2003
18 Aug 2003
Conferences
monetary ease by the M3 criterion and 11 periods of monetary ease by the real interest rate criterion. ... Alternatively, how could interest rates be expected to stay low indefinitely if the boom's euphoria was based on a real increase in the potential
https://www.rba.gov.au/publications/confs/2003/posen.html
How Will Ageing Affect the Structure of Financial Markets? | Conference – 2006
23 Jul 2006
Conferences
advanced economies implicitly affecting the real interest rate or the risk premium. ... prices, and associated high real interest rates.
https://www.rba.gov.au/publications/confs/2006/davis.html
Designing Inflation Targets | Conference – 1997
21 Jul 1997
Conferences
This refers to the non-negativity constraint on nominal interest rates which, when zero inflation is targeted, in turn places a non-negativity constraint on real interest rates (Summers 1989). ... Below-equilibrium (rather than negative) real interest
https://www.rba.gov.au/publications/confs/1997/haldane.html
Discussion | Conference – 2017
16 Mar 2017
Conferences
I personally do not think that one should downplay increases in household indebtedness that arise as nominal interest rates decline in response to lower inflation. ... It is true that lower interest rates make it easier for households to carry larger
https://www.rba.gov.au/publications/confs/2017/ellis-littrell-disc.html
Which Monetary-policy Regime for Australia? | Conference – 1997
21 Jul 1997
Conferences
Issues of price-level indeterminancy with an interest-rate instrument are a real concern, but as shown in Gagnon and Henderson (1990) and Henderson and McKibbin (1993a), as long as there ... Taylor Rule:. where:. i = nominal interest rate;. r = real
https://www.rba.gov.au/publications/confs/1997/mckibbin.html
OECD Country Experiences with Disinflation | Conference – 1992
10 Jul 1992
Conferences
A policy aimed at lowering the rate of inflation permanently would, because of higher interest rates and an appreciation of the real exchange rate, be accompanied by important transitory costs, mainly ... Led by a change in the operating procedures of
https://www.rba.gov.au/publications/confs/1992/schelde-andersen.html
Inflation: Performance and Policy | Conference – 1990
21 Jun 1990
Conferences
the highest real interest rates in the post-war period, thus having more to do with a shift in preferences by the individual and corporate sectors than with unduly soft monetary ... Carmichael and Hawtrey (1981) found a positive effect on saving from
https://www.rba.gov.au/publications/confs/1990/carmichael.html
Introduction | Conference – 2017
16 Mar 2017
Conferences
Dr Borio and Dr Hofmann look at whether monetary policy is less effective when interest rates are persistently low. ... This has led some to question the effectiveness of monetary policy when interest rates are at low levels.
https://www.rba.gov.au/publications/confs/2017/introduction.html
Banking Deregulation – A Virtue or a Necessity? | Conference – 1991
21 Jun 1991
Conferences
The high real interest rates that should normally have been a major deterrent to excessive bidding for funds was heavily discounted by those who extrapolated the past into the future. ... These included the lack of capital gains tax, the double taxation
https://www.rba.gov.au/publications/confs/1991/ferguson.html
Biographies of Contributors | Conference – 2018
12 Apr 2018
Conferences
Previously, Sally was Co-head of Economics and Interest Rate Strategy at ANZ. ... Her recent research interests include business cycles, neutral interest rates, and the global dairy market.
https://www.rba.gov.au/publications/confs/2018/bios-2018.html