When the Reserve Bank lifts interest rates next Tuesday and again either in December or February, you can thank the lazy, fat, rapacious State Governments.
Interest rate hike
Stutchbury: Why Swan doesn’t want your applause
Wayne Swan should be lapping-up the news heralded by the RBA rate hike that the economy is back on track, says Michael Stutchbury. But the rest of the world’s finance ministers are still battling recession, and Swan would rather fit in with the cool crowd.
Making a bad situation worse
The RBA may have hiked up interest rates on the belief that the economy is returning to normal — but its view of “normal” is out of whack, says Debtwatch. Perhaps it’s time to take control of Australia’s monetary policy out of the RBA’s hands?
US inflation still running wild as recession looms
If there wasn’t a looming recession in the US, market analysts, economists and other urgers would be baying for the Fed to lift rates after the country’s consumer price index produced the biggest annual rise in inflation for 17 years, writes Glenn Dyer.
Tax promise will have no impact on the November rate rise
The expected interest rate hike in November will be the result of the tax cuts announced in the May Budget, together with other well documented issues that are adding to inflation, writes Stephen Koukoulas.
Investment banks warn tax cuts will boost inflation
Two leading Australian investment banks have warned that the Federal Government’s $34 billion in tax cuts over the next five years threaten to boost inflation and interest rates, writes Glenn Dyer.
Interest rate rises? CDEP workers face ruin
The Reserve Bank’s interest rate announcement was not just widely predicted, it was factored into the share market weeks ago. The media will no doubt rake the coals of families doing it tough with—what?—the ninth interest rate hike in a row. But you can bet no journalist—especially those of the Canberra press gallery—will take time out to talk to anyone in the Northern Territory who works for a Community Development Employment Program (CDEP) wage.
The Economy: Jobs growth slows, productivity surges, inflation subdued
With GDP growth accelerating, slowing jobs growth implies sharply rising productivity. With mining exports seemingly unblocked at present and recovery in rural Australia there are two major structural reasons to expect a productivity surge.
