The Reserve Bank of Australia uses open market operations:
A)usually every day.
B)once a month when the Reserve Bank Board meets to discuss monetary policy.
C)only when it wants to increase or decrease the cash rate.
D)only when it is conducting monetary policy.

Question

Quizplus · Accepted Answer

The Reserve Bank of Australia uses open market operations usually every day to manage the cash rate and implement its monetary policy decision. Open market operations involve buying or selling financial instruments such as government bonds to influence the supply of money in the economy.

The Reserve Bank of Australia Uses Open Market Operations