A number of measures of the underlying rate of inflation are reported for Australia. We formulate criteria that an acceptable underlying rate must satisfy and then test to see whether any of the current measures satisfy these criteria. We find that for the period since inflation targeting began,...

This paper implements a procedure to evaluate time-varying bank interest rate adjustments over a sample period which includes changes in industry structure, market and credit conditions and varying episodes of monetary policy. The model draws attention to the pivotal role of official rates and...