Rate changes have biggest impact on goods and housing – RBNZ study
Research analyses impact of rate hikes following pandemic-related inflation
Goods and housing prices in New Zealand are most sensitive to policy rate changes, according to a research note published on June 16 by the country’s central bank.
The note, by Reserve Bank of New Zealand (RBNZ) researchers Magnus Astebol and Nimesh Patel, found that changes to the official cash rate (OCR – New Zealand’s main policy rate) over recent years had the greatest impact on sectors that make or trade goods, as well as housing and related services.
“When the OCR increases, these sectors
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