Tuesday, 15 February 2022

the RBA needs to raise rates

 Interest rates need to be raised NOW!

Currently the official cash rate is 0.1%. Perfectly understandable if  a lockdown has put the economy into a deep recession. however we are no longer there. Unemployment is just above 4%.

Therefore interest rates need to come back to 'normal' levels. We do not need to create a housing bubble nor make it near impossible to get into the housing market for people who are either renting or living with their parents.

Just to make it perfectly plain I am not saying interest rates need to go to restrictive levels yet merely go to neutral levels.

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