3 ms·

Looking from the outside I'll be honest you can't have everything. One of the primary aims of a central bank is to control inflation which it looks like the ban

Looking from the outside I'll be honest you can't have everything. One of the primary aims of a central bank is to control inflation which it looks like the bank has done pretty well. https://www.rateinflation.com/inflation-rate/australia-historical-inflation-rate https://www.rateinflation.com/inflation-rate/australia-histo... In hindsight it's easy to say what should be done but they really look like they've done a pretty decent job. No economy grows forever and Australia has had a very good run in recent history.

jussij 9y ago
Those inflation figures you quote don't reflect what is actually happening in Australia. Like most of the developed world wage growth in Australia is flat and has been flat for at least the last decade. So wages growth has not driving up inflation. However, each time a cyclone hits Queensland that drives up the price of bananas and other fruits, which does drive up inflation. Add to that the fact you can now buy Australian gas at a cheaper price in all parts of the world other than Australia. Go figure? Then consider the fact we closed our oil refineries so we could import our gasoline from Singapore. Strangely enough when the international price of oil goes up (or the AUD dollar goes down), we instantly pay more for our gasoline. However when the international price of oil drops (or the AUD dollar goes up) the price of gasoline takes weeks to come down. Strange? Add to that the current joke in Australia where most state governments have privatised their electricity utilities only to see the price of electricity increase by 20% in last quarter. So yes we do have lots of inflationary pressure here in Australia, but most of that pressure is created by the multi-nationals screwing us with our elected governments providing the lubrication.

3 ms·

Looking from the outside I'll be honest you can't have everything. One of the primary aims of a central bank is to control inflation which it looks like the ban

by dageshi 9y ago

jussij 9y ago
Those inflation figures you quote don't reflect what is actually happening in Australia. Like most of the developed world wage growth in Australia is flat and has been flat for at least the last decade. So wages growth has not driving up inflation. However, each time a cyclone hits Queensland that drives up the price of bananas and other fruits, which does drive up inflation. Add to that the fact you can now buy Australian gas at a cheaper price in all parts of the world other than Australia. Go figure? Then consider the fact we closed our oil refineries so we could import our gasoline from Singapore. Strangely enough when the international price of oil goes up (or the AUD dollar goes down), we instantly pay more for our gasoline. However when the international price of oil drops (or the AUD dollar goes up) the price of gasoline takes weeks to come down. Strange? Add to that the current joke in Australia where most state governments have privatised their electricity utilities only to see the price of electricity increase by 20% in last quarter. So yes we do have lots of inflationary pressure here in Australia, but most of that pressure is created by the multi-nationals screwing us with our elected governments providing the lubrication.