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Tue Jun 18

Below zero is ‘reverse’. How the Reserve Bank would make quantitative easing work

Written by Stephen Kirchner, Program Director, Trade and Investment, United States Studies Centre, University of Sydney

Road tested. Quantitative easing worked in the US, and can work even better here.Shutterstock

With its official cash rate now expected to fall below 1% to a new extraordinarily low close to zero, all sorts of people are saying that the Reserve Bank is in danger of “running out of ammunition.” Ammunition might be needed if, as during...

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