Macroeconomics 12th Edition by Rudiger Dornbusch ,Stanley Fischer,Richard Startz

Exercise 11

Figure 19-1 presents the evolution of long- and short-term interest rates on U.S. Treasury bills and bonds. The graph illustrates that long-term interest rates are usually higher than short-term rates. See if the same thing is true for interest rates on Australian Treasury bonds. You can find data at the Reserve Bank of Australia's website ( www.rba.gov.au ). Click on "Statistics" and then "Search for Statistics." Then, find and download the series "Interest Rates-Treasury Bonds."