Poll date has no impact on decisions:RBA

The historically long lead up to the federal election won't stop the Reserve Bank of Australia (RBA) from changing interest rates if it has to, the head of the central bank says.

Prime Minister Julia Gillard took the unusual step last month in announcing the September 14 election date, eight months in advance.

As normal during his six monthly hearing to the House of Representatives economic committee in Canberra, central bank governor Glenn Stevens gets posed questions from children from local schools.

Liam Duggan from Gungahlin College asked the governor what impact the long election campaign would have on the central bank's decision making.

"I thought that question might get asked today, but I was expecting that from over here," Mr Stevens said nodding towards the committee.

He agreed that it was a long lead up to the election.

"But the Reserve Bank board has to do its job every month and I think the Australian people would expect no less than that," Mr Stevens said.

"We'll continue to meet, and if interest rates need to be changed, then they have to be changed."

The RBA board took the unprecedented decision during the 2007 election campaign to lift the cash rate.

Later, Mr Stevens was asked if there was any evidence to suggest the early calling of the election had improved the economy.

Mr Stevens said he was not sure there was evidence either way, saying there was not enough economic data post the announcement and even when it became available he was unsure if it would be possible to detect an effect.

"It's commonly said in business circles that election periods are very bad for confidence and people stop spending," he said.

"It's actually quite hard to find any concrete evidence of that, I must say.

"So, I am not sure that even when data comes in, we will be able to tell whether there's been any economic impact of the calling of the election per se."

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