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The Reserve Bank of Australia increased the cash rate in 2023 in an effort to control inflation. This decision was based on the theory of
The Reserve Bank of Australia increased the cash rate in 2023 in an effort to control inflation. This decision was based on the theory of monetary policy, specifically the interest rate channel. By raising interest rates, the Reserve Bank aimed to reduce aggregate demand and slow down economic growth, which would help to curb inflationary pressures
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Managerial Economics and Business Strategy
Authors: Michael Baye, Jeff Prince
8th edition
9780077802615, 73523224, 77802616, 978-0073523224
