When the Reserve Bank Wants to Slow Inflation, It

question 8

Multiple Choice

When the Reserve Bank wants to slow inflation, it

• A) increases taxes on interest income.
• B) lowers the cash rate.
• C) cuts the cash rate target aggressively to almost zero.
• D) increases aggregate income, output and employment.
• E) raises the cash rate target.

Understand the complex nature of supply chains and the factors contributing to their complexity.

Identify the impact of consumer empowerment on supply chain management.

Understand the issues and challenges in developing and sustaining an efficient and effective supply chain.

Recognize the factors not contributing to supply chain efficiency and effectiveness.

---

Definitions:

Efficient Outcome

An optimal allocation of resources that results in the highest possible satisfaction or utility with the least waste or inefficiency.

Externality

A consequence of an industrial or commercial activity which affects other parties without this being reflected in market prices.

Property Rights

Legal rights to use, control, and benefit from a resource.

Free-Rider Problem

A situation where individuals consume a public good without contributing to its cost, leading to underprovision or overuse.