KingKayyy4467 KingKayyy4467

09-05-2024
Business

Answered

In the short-run, an increase in the nominal cash rate is also expected to increase the real cash rate because:
a. Inflation changes one for one with the nominal cash rate.
b. The RBA can control the real cash rate.
c. Inflation is slow to adjust to a change in monetary policy.
d. None of the other answers is true.
e. Fisher effect.

Answer :

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