Interest rate cuts boost Australian economy, but hikes have little impact.
The study looked at how changes in interest rates affect economic growth in Australia. They found that when interest rates unexpectedly go down, the economy grows faster. But when rates unexpectedly go up, it doesn't slow down growth as much. This means that lower interest rates help the economy more than higher rates hurt it. The researchers also saw that when interest rates are low, the economy grows more than when rates are high. This shows that in Australia, lowering interest rates can boost the economy, even if it's not always the case.