HSC Economics Topic 2 Australia's Place in the Global Economy quiz quiz

Goods balance on merchandise trade

Net foreign direct investment

Services balance on tourism and education

Primary income balance on interest

A persistent surplus on the goods and services trade balance

Drawing down the RBA's official holdings of foreign reserves

A surplus on the capital and financial account

A sustained surplus on the primary income balance

The ratio of total import volumes to total export volumes over a year

The annual percentage change in the AUD-USD bilateral exchange rate

The current account balance expressed as a share of nominal GDP

The ratio of export prices to import prices, expressed as an index

December 1983

September 1971, after the Smithsonian Agreement

March 1995

October 2008

Cause the AUD to depreciate sharply as commodity export revenues weaken

Lift the goods balance and tend to narrow the current account deficit

Have no effect on the Budget balance despite higher commodity revenues

Reduce real national income by lowering the purchasing power of exports

All of it is owed to and fully guaranteed by the Australian federal government rather than private firms

Australia runs a goods and services trade surplus in every quarter, so the debt is steadily repaid from export earnings

Most of it is denominated in AUD or hedged, and the private sector borrowing is supervised by APRA

The RBA buys all outstanding foreign debt outright and holds it on its balance sheet

A purely bilateral free trade agreement signed between Australia and the United States in the early 2000s

A multilateral WTO negotiating round launched at Doha in 2001 to lower global tariffs

An IMF emergency lending facility created to support Asia-Pacific economies during downturns

A 15-economy regional trade agreement that includes Australia, China and ASEAN, in force from 2022

The Foreign Acquisitions and Takeovers Act 1975 (Cth)

The Reserve Bank Act 1959 (Cth), which establishes the central bank

The Banking Act 1959 (Cth), which governs authorised deposit-taking institutions

The Corporations Act 2001 (Cth), the general law on companies and securities

The fall in the AUD that follows automatically whenever the RBA cuts the official cash rate target

The initial worsening, then improvement, of the trade balance following a currency depreciation

The trade-off between unemployment and inflation traced out by the Phillips curve in Australia

The cyclical relationship between the size of the Budget deficit and the level of nominal GDP

Wheat

Wool

Iron ore

Motor vehicles