Australia’s Consumer Price Index rose 1.3% in the three months to December, bringing inflation for the 2021 year to 3.5%.
Brainard has been pushing the Fed to consider exposure to climate change in its regulation and analysis of banks. That’s sparked fury from Republican senators – and even a Nobel Prize winner.
Outside of a few superstar firms investing heavily in artificial intelligence, investment by Australian businesses has been shrinking for a decade and isn’t set to bounce back.
The 55 leading economists surveyed by the Economic Society see few signs of Australia aping the US, where inflation has surged to its highest level in 30 years.
In its quarterly statement on the economy the Bank is at pains to suggest it won’t be lifting interest rates quickly.
Sub-2% mortgages are a thing of the past. The Reserve Bank’s governor has signalled variable rates will rise sooner than previously expected, but says he doesn’t expect it in 2022.
The Reserve Bank’s Term Funding Facility was meant to support lending during COVID. Instead the funds might be ending up in the accounts of bank shareholders.
Australia faces economic problems down the road if three big, structural reform areas — housing affordability, the tax mix, and decarbonisation — are not addressed.
The unemployment decline isn’t as impressive as it first appears, and wages growth remains sluggish.
The independence of Australia’s central bank doesn’t make it infallible. It should welcome peer review.
The last time Australia’s unemployment rate was below 5% was June 2011.
The Reserve Bank governor’s ‘forward guidance’ risks him not adapting to changing circumstances, or undermining his credibility.
The Reserve Bank of Australia is ready to taper off the ‘unconventional’ monetary policy measures introduced in response to the COVID-19 crisis.
The Bank of International Settlements says technology and globalisation are the main causes of increasing inequality.
The RBA shouldn’t be spooked into raising interest rates, but the prospect of inflation in the next few years is an important consideration for central banks around the world.
Australia’s official unemployment rate falling to 5.5% is enough to make a treasurer dance. But we shouldn’t get too carried away.
The bank’s decision to focus on just one thing puts the onus on the government to take action to rein in home prices.
Cash holdings jumped 17% during the crisis, most of them in the form of $50 and $100 notes.
The New Zealand subsidiaries of major Australian banks might be highly profitable, but realising their true sale value can still be a challenge.
Ross Garnaut’s new book Reset argues for much bolder approach to employment, debt, interest rates and basic income than is widely envisaged.