The RBA

question 71

Multiple Choice

The RBA:

• A)trades FX to keep the AUD within its target range
• B)trades FX for 'smoothing and testing' purposes
• C)believes the FX market is prone to excessive cyclical movements
• D)believes the FX market behaves in a manner that is consistent with the efficient market hypothesis
• E)trades to reduce short-term volatility.

Differentiate between active and passive economic policies and their impact on business cycles.

Understand the long-run self-correction mechanisms in the economy.

Understand the complexities of social norms and their negotiation in society.

Comprehend the concepts and implications of impression management in social interactions.

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Definitions:

Visual Tracking

The capability to visually follow a moving object smoothly and continuously.

Dishabituation

The process of responding to an old stimulus as if it were new again after a change in context or presentation, demonstrating the renewal of attention.

Babinski Reflex

A reflex action in humans where the big toe extends upward when the sole of the foot is stimulated, typical in infants.

Palmar Grasp

A reflex in infants that causes them to tightly close their hands into a fist when the palm is touched.