Search: Nominal interest rate
RBA Glossary definition for Nominal interest rate
Nominal interest rate – The nominal interest rate refers to the cost of borrowing money before adjustment for inflation i.e. it includes compensation for the expected erosion of the value of the borrowed funds due to inflation. It is the cost visible to the borrower, and is composed of the real interest rate plus inflation.
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.
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Is Monetary Policy Less Effective When Interest Rates Are Persistently Low? | Conference – 2017
16 Mar 2017
Conferences
Finally, just as in the case of bank lending, nominal interest rates may matter quite independently of real rates. ... illusion or specific transmission channels working through, or proxied by, the nominal interest rate.
https://www.rba.gov.au/publications/confs/2017/borio-hofmann.html
Monetary Targeting: The International Experience | Conference – 1989
20 Jun 1989
Conferences
t. is the log of the price level. R. t. is the nominal interest rate. ... Thus the optimal policy can be defined indifferently as either a real or a nominal interest rate response to the current price level signal.
https://www.rba.gov.au/publications/confs/1989/edey.html
The Smoothing of Official Interest Rates | Conference – 1997
21 Jul 1997
Conferences
For instance, in the case where ω=0.05 (the smallest penalty on changing interest rates that we consider), the standard deviation of the quarterly change in the nominal interest rate ... It is not the case that optimal monetary policy involves making
https://www.rba.gov.au/publications/confs/1997/lowe-ellis.html
Financial Stability in a Low Interest Rate Environment: An Australian Case Study | Conference – 2017
16 Mar 2017
Conferences
More recently, nominal interest rates have declined further, relative to the averages seen in the rest of the inflation-targeting period. ... One issue from low nominal interest rates is that the central bank has less room for conventional monetary
https://www.rba.gov.au/publications/confs/2017/ellis-littrell.html
The Role of the Exchange Rate in Monetary Policy – the Experience of Other Countries | Conference – 1993
12 Jul 1993
Conferences
Whilst a sizeable dispersion of inflation still persisted, the credibility of the exchange rates was tending to bring about a convergence of nominal interest rates. ... 0 schedule would slope forward, as shown. This system is not stable (see Appendix C);
https://www.rba.gov.au/publications/confs/1993/artis.html
The Smoothing of Official Interest Rates
7 Dec 2006
Conferences
PDF
190KB
RBA Conference Volume 1997
https://www.rba.gov.au/publications/confs/1997/pdf/lowe-ellis.pdf
Evaluating Simple Monetary-policy Rules for Australia | Conference – 1997
21 Jul 1997
Conferences
The appreciation of the nominal exchange rate induced by higher local interest rates also directly lowers inflation by reducing the Australian dollar price of imports. ... These rules set the current nominal interest rate on the basis of currently
https://www.rba.gov.au/publications/confs/1997/de-brouwer-oregan.html
Financial-asset Prices and Monetary Policy: Theory and Evidence | Conference – 1997
21 Jul 1997
Conferences
t. ) and the current price level. The central bank sets the nominal interest rate to minimise the following intertemporal loss function,. ... where. is the equilibrium nominal interest rate, π. t. the trend inflation rate,.
https://www.rba.gov.au/publications/confs/1997/smets.html
News and Interest Rate Expectations: A Study of Six Central Banks
27 Nov 2006
Conferences
PDF
206KB
RBA Conference Volume 2004
https://www.rba.gov.au/publications/confs/2004/pdf/connolly-kohler.pdf
Discussion of Inflation and Interest Rates
20 Dec 2023
Conferences
PDF
150KB
RBA Annual Conference 2023
https://www.rba.gov.au/publications/confs/2023/pdf/rba-conference-2023-cochrane-discussion.pdf