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Archives of Issues and ArticlesGrant's Interest Rate Form

Archives of Issues and ArticlesGrant's Interest Rate Form

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hey everyone this can be a bit of a challenging topic on the interest rate Corridor so I thought I'd do a quick video to help us uh understand what it's all about so as with most things let's start with some terminology um to set the ground before we move on to the trickiest stuff so firstly The Reserve Bank of Australia um you'll often see that's shown as the RBA uh the easiest way to think of the RBA they do many many things but when we're first learning about it the easiest thing to think is the bank for the banks now they hold as I said before lots of other roles in the economy um that we only touch on here in year2 economics but for the purposes of understanding the interest rate Corridor I want you to think of them as the bank for the banks the other idea here is this thing called an exchange settlement account which is just a fancy way for calling the bank account uh by which the banks hold with the Reserve Bank of Australia so if

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