Australians don't understand how interest rates work, RBA finds
www.abc.net.au
The Reserve Bank is concerned that too many Australians have little idea what the central bank is trying to achieve with interest rates, which it says could be making its job harder.
  • minty@aussie.zoneEnglish
    1·
    23 days ago

    Interest rates are one lever that can be pulled to try and produce an effect to control inflation/unemployment/economic growth. Ignore any advocation for removing it.

    Imo tho, we have relied far too much on it to get us out of economic crisis (i.e. covid, where interest rates were 0.1% and then looots of inflation afterwards). A good budget goes a much further way to solve it and its effects are long term.

    • Salvo@aussie.zoneEnglish
      1·
      19 days ago

      Also promoting local manufacturing.

      Nothing is manufactured in Australia any more. Everything is imported from China.

      The housing industry has been propping up the economy with Taxpayer funded corporate welfare, and Superannuation funded public welfare and a giant Ponzi scheme of suppliers and it has finally failed over.