If the Reserve Bank of Australia wished to eliminate an inflationary gap, which of the following would be an appropriate policy?
A) Buy government securities
B) Raise the cash rate
C) Lower the cash rate
D) Decrease the government budget deficit
Correct Answer:
Verified
Q17: The Reserve Bank of Australia engages in
Q18: During the financial crisis of 2008- 2009,
Q19: In the short run, the Reserve Bank
Q20: Which of the following is NOT a
Q21: By law, the objectives of the Reserve
Q23: If the Reserve Bank of Australia wants
Q24: Open market operations by the Reserve Bank
Q25: Long- term interest rates are _ than
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