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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Resilience of Australian Households and Businesses
6 Oct 2023
FSR
– October 2023
Resilience of Australian Households and Businesses | Financial Stability Review – October 2023
https://www.rba.gov.au/publications/fsr/2023/oct/household-business-finances-in-australia.html
The Australian Financial System
8 Apr 2022
FSR
– April 2022
For example, an increase in nominal interest rates is likely to reduce the value of both assets and liabilities, although the net effect on their capital can depend on what caused ... Higher nominal interest rates typically reduce the discounted value of
https://www.rba.gov.au/publications/fsr/2022/apr/australian-financial-system.html
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
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
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
Box A: Low Interest Rates and Asset Price Risk
10 Feb 2020
FSR
April 2018
PDF
836KB
https://www.rba.gov.au/publications/fsr/2018/apr/pdf/box-a.pdf
The Relationship Between Financial Indicators and Economic Activity: 1968–1987 | Conference – 1989
31 Dec 1968
Conferences
For interest rates, all significant coefficients are negative, as expected. In other words, a rise in the short-term interest rate is generally associated with a fall in nominal demand, a ... Data for real interest rates are calculated by deducting the
https://www.rba.gov.au/publications/confs/1989/bullock-morris-stevens.html
Expectations and the Neutrality of Interest Rates
27 Nov 2023
Conferences
PDF
477KB
RBA Annual Conference 2023
https://www.rba.gov.au/publications/confs/2023/pdf/rba-conference-2023-cochrane.pdf
The Cost of Inflation in Australia | Conference – 1992
10 Jul 1992
Conferences
In addition, because housing loan interest costs are not deductible, and because nominal housing loan rates might rise in excess of the rate inflation due to the tax-adjusted Fisher effect ... In our benchmark inflation-neutral world, a fully-anticipated
https://www.rba.gov.au/publications/confs/1992/mctaggart.html
Discussion on Recent Thinking About Exchange Rate Determination and Policy | Conference – 1993
12 Jul 1993
Conferences
This being said, it is relevant to emphasise two important caveats to the proposition that nominal exchange rate changes tend to induce roughly equivalent changes in real exchange rates. ... In this context, it was noted that the countries with a high
https://www.rba.gov.au/publications/confs/1993/mussa-disc.html