New research shows uncertainty isn’t the cause of slow economic growth. But that could change if the government isn’t clearer about policies.
Academic rigour, journalistic flair
Reserve Bank of Australia – Analysis and Comment
Millie, aged 5, wants to know where money comes from. We asked an economist to explain.
There was a fair bit of detail this week about what we can expect from the RBA and US Fed on interest rates going forward.
The Australian economy continues to show some positive signs, but there are pockets of weakness and cause for concern every month.
There are some good reasons why the RBA should retain its flexibility in managing inflation.
A 2014 memo from the RBA is being used like a political football in the current election campaign, but this was never its intended purpose.
RBA Governor Glenn Stevens isn’t buying the secular stagnation theory, lending weight to the deficit hawks.
The Reserve Bank of Australia has announced a new five dollar note, to great general derision. The Australian Mint has a proud history of excellent design, so why is this new note so wrong?
This week: the Australian economy exceeds expectations, while China continues to worry. RBA Governor Glenn Stevens has reason to smile, Janet Yellen less so.
There is more uncertainty in financial markets, an improving labour market in Australia (despite a monthly blip in January) and the US, but no sign of much growth.
The Reserve Bank of Australia has decided to leave the official cash rate unchanged at a record low of 2%, but said there was scope for a rate cut down the line.
Banks might be pushing rates up, but the Reserve Bank’s focus should be on who they’re lending to.
RBA has no comparative advantage or good reason to regulate the Payments System. Australia already has a specialist agency to regulate industry – the ACCC.
The best course of action for the Reserve Bank is to hold off changing rates; but the longer term case for an increase is changing.
The carbon tax repeal was supposed to save the average household A$550. And it might well have done, but teasing out the exact figure amid the myriad other economic factors is a herculean task.
Recent regulator outrage about the state of banking culture overlooks the fact regulators often look the other way.
Business investment fell by 4.4%, with non-mining sectors slow to take up the slack left by resources.
With today’s cut, interest rates are at a record low, due in large part to ongoing concerns about the global economy.
With rates on the way down the problem of runaway property investing has been left to the regulator APRA. But regulators should not be used as agents of short-term government policy.
Economic data is giving a mixed picture on whether the Reserve Bank should cut rates, but on balance, RBA members should hold.
Financial markets have factored in a cut to Australia’s cash rate, but economists - including the CAMA Shadow Board - aren’t so sure.
The fact is, people do not always behave dispassionately and logically. Which is why measuring consumer sentiment matters.
I am a member of the “Shadow” RBA Board, which is made up of a collection of industry and academic economists. Just before every meeting of the real-world RBA Board, we announce our recommendations for…
This week’s Reserve Bank interest rate move surprised virtually everyone, bringing the cash rate to 2.25%, yet another historic low. Despite Australian Treasurer Joe Hockey suggesting the rate cut means…
Though markets had somewhat priced in an Australian interest rate cut yesterday, many analysts and commentators were still left surprised. The rate had not been cut for 18 months. Over that period commentary…