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
Evaluating Simple Monetary-policy Rules for Australia | Conference – 1997
21 Jul 1997
Conferences
potential output, c an unspecified constant real interest rate, and γ a reaction parameter. ... A similar result follows when the central bank thinks that the neutral real interest rate is higher than it actually is, and so tries to keep interest rates
https://www.rba.gov.au/publications/confs/1997/de-brouwer-oregan.html
Is Monetary Policy Less Effective When Interest Rates Are Persistently Low? | Conference – 2017
16 Mar 2017
Conferences
Conventional consumption theory suggests that low real interest rates depress saving and boost consumption through intertemporal substitution. ... When the real interest rate is low, the returns from postponing consumption are also low.
https://www.rba.gov.au/publications/confs/2017/borio-hofmann.html
The Smoothing of Official Interest Rates | Conference – 1997
21 Jul 1997
Conferences
The task for the monetary authorities is simply to move the nominal interest rate in line with the random changes in the real interest rate. ... we simply assumed a linear relationship between the real interest rate and economic activity.
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
from a decline in the equilibrium real interest rate. ... A decline in real interest rates could occur because trend economic growth has declined, but that is not a scenario in which an increase in household indebtedness would be regarded as
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
Then (real) interest rates and intervention target the FEER, whilst fiscal policy is used to target the nominal demand objective. ... 0 schedule would slope forward, as shown. This system is not stable (see Appendix C); but if nominal interest rates rise
https://www.rba.gov.au/publications/confs/1993/artis.html
The Economics of Low Interest Rates
29 Dec 2022
Conferences
PDF
1053KB
RBA Annual Conference 2022
https://www.rba.gov.au/publications/confs/2022/pdf/rba-conference-2022-mian-presentation.pdf
Gazing at r*: A Hysteresis Perspective
29 Dec 2022
Conferences
PDF
1668KB
RBA Annual Conference 2022
https://www.rba.gov.au/publications/confs/2022/pdf/rba-conference-2022-beaudry-kartashova-meh.pdf
Monetary Targeting: The International Experience | Conference – 1989
20 Jun 1989
Conferences
information on which policy is based (. ), and the elasticity of real demand with respect to the real interest rate. ... The mechanism by which policy works can be thought of as being through the effect of the real interest rate on real demand.
https://www.rba.gov.au/publications/confs/1989/edey.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
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