By law, the objectives of the Reserve Bank of Australia are
A) to keep the cash rate below 2 per cent a year and the unemployment rate at its natural rate.
B) to conduct monetary policy in a way that will best contribute to the objectives of the stability of the currency, the maintenance of full employment, and the economic prosperity and welfare of the Australian people.
C) to keep the unemployment rate below 5 per cent, the inflation rate between 1 and 3 per cent a year, and long- term interest rates below 4 per cent a year.
D) to keep the labour force participation rate above 80 per cent, the inflation rate below 2 per cent a year, and the exchange rate fluctuating by less than 3 per cent a year.
Correct Answer:
Verified
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Q26: ![]()
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