If The RBA Were A Company, The Governor Would Be Out Of A Job!

Where should accountability lay for the decisions of the Central Bank? There are many arguing that more independence is needed, so politicians can claim arms length influence only. On the other hand to date, this approach has not been working, and in a New Daily article Alan Kohler makes some interesting observations.

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  1. As usual we are being played. The RBA is reactionary to fiscal policy that caused the inflation. Instead of putting blame on the Government they get us to look at RBA

  2. I hate interest rate rises as much as the next person, but I also understand from examples of hyperinflation in other countries that raising rates is the lesser of two evils. Historic low rates could't last forever and it could be bad if they did.

  3. It's interesting how no one complained when rates were being artificially pushed down in the last 15 years of easy money, but now when they're doing the right thing by increasing rates (not nearly enough though) everyone is panicking and complaining.

  4. It incredible that its expected of government to serve and be accountable yet here we have dessert before entree with the main meal given in a doggy bag, the chq totals a table not yr own and the chef is the owners dog.
    Btw- Mr Squiggle was the mastermind in plain sight all along.

  5. I’m not ok with the Phil Lowe pile on. The RBA review seems to be the government avoiding accountability for their part. Poor government policy, constant government interference, a once in a life time pandemic, board stacking by governments at the time and putting mainly business people ( who would be clearly biased about rates) are all significant factors. The housing bubble should never have gotten this far that now raising rates by small amounts is having significant crippling impacts due to absurd prices and a bubble. It took a long time to get where we are now. Laying blame at one persons feet is avoiding what created the problem. If labor does not do anything to fix this I will vote green next. I never thought I’d vote green but they are the only party talking about issues people my age are worrying about.

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