There is one reason why the RBA should hike rates today and it has nothing to do with economics and everything to do with politics. It is PM Morrison:
So tomorrow it’s not about me, it’s not about Mr Albanese, it’s not about the Treasurer or the Shadow Treasurer, it’s about Australians themselves and the decisions they are making and understanding the pressures on the economy — and who they think is going to be better able to manage those pressures into the future.
The trap is set and the RBA can spring it. If it hikes then Morrison will spend the next three weeks being forced to repeat the line that he doesn’t hold the hose when it comes to economic performance. This is fatal on two fronts.
First, he is himself trashing his only pitch to voters about economic management.
Second, he is reinforcing everything that the electorate hates about his failure to take responsibility, which is Labor’s front and square election message.
Why should the RBA do this?
Because the country needs to be rid of Scott Morrison and the Colation so that it can reset the policy process to address Pacific islands, decarbonisation, energy security and industrial repair.
These five challenges are an interlinked national interest must-do if we are to buttress the future of libersalism in Australia. None can be fixed without the other and all must be fixed if the Australian way of life is to be protected from the encroachments of north Asian fascism.
Labor has better processes and policies and all fronts, and a big injection of independents should help drive it to deeper change over time
So, in a very real sense, by hiking interest rates today, the RBA will be protecting the economic system over which it presides.
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I agree with the headline, but I am not strongly convinced that it would make much difference as regards decarbonisation or energy security. The Labor un-plan for net zero emissions is a 40% population increase. They will continue to serve the interests of fossil-fuel donors, while retailing economists’ porkies about carbon markets, carbon offsets and carbon capture.
True but they’ll be better and with indie pressure forced to get much better.
Labor literally put a price on carbon. The LNP abolished that legislation. We still need a price on carbon.
Labor tried housing tax reform (negative gearing). LNP attacked it. Electorate daft enough to vote against it (in fact they voted against the only party to have any policy at all).
Is it really any wonder Labor don’t bother putting up anything serious anymore?
“Labor tried housing tax reform (negative gearing). LNP attacked it. Electorate daft enough to vote against it (in fact they voted against the only party to have any policy at all).”…indeed, and now the electorate is about to reap the whirlwind.
I for one do not blame Labor for their small target strategy. The Australian public is far too stupid and fearful to be trusted to rationally consider and evaluate actual policies rather than latch on to small minded, sound bite scare tactics. Something Morrison and the Liberals generally excel at.
+1
Spot on
Agreed
You’d think the ALP would have created their own version of fact-check for this election that validates claims in advertising and debate, which would have a twofold benefit to them:
1) By taking ownership of the truth and putting it out there for others to verify, they display transparency and earn trust.
2) It pulls all of the Coalition’s BS out and washes it down, revealing the dirty bastards for what they really are.
You’d then have fact-checkers fact-checking their calls, and if they were then to be called out for not getting it quite right, they can then demonstrate integrity by acting on it and changing their message or policy.
What a fresh change that would be!
Accountability is kryptonite to politicians.
Agreed, but it’s a marketing play/ploy that could smash it away done right. Almost impossible to counter.
How many facts would a fact-checker check if a fact-checker would check facts?
They would have a very checkered career.
Let me have that checked that and get back to you.
They are reliant on a largely hostile media to present this information, who will (as they always do) present it in a “both sides” narrative.
Ie: it will be framed as “both sides do naughty things, look here is an equal number of examples from both”.
That the examples from one side are worse by probably an order of magnitude or two in quantity and severity will never even be spoken of out loud.
The RBA can play it safe : 25 basis point today, then 25 more in June. 50 basis point today requires courage, whereas not hiking means the RBA have become part of the LNP, and will only hike rates under Labor.
You need a board full of patriots in the RBA who will do the right thing for the country, regardless of its cost to them or their bosses.
Are there modern, high-profile public servants with the cogs to act in the best interests of the people?!?
If the RBA dont hike today and then come through with 50 bps in june it would come across as incredibly partisan.
You’d think there would be some very angry people in the federal ALP.
I wonder what punsihment they would try to inflict on the RBA board in revenge?
It will be 15bp or 40 to get it back to a multiple of 25bp.
I reckon 15bp today because they are weak as p1ss and then 25bp in June.
Or not.
My OCD doesn’t approve.
You obviously know something about the far left Labor clowns that we don’t. Either side are incompetent and to continue with this messiah view of politics is well past its use by date.
Labor are far left!
Oh, the humanity.
Thanks for the lolz so early in the day!
As BT would say: Wow, Boy, Gee.
You obviously know something about the far left Labor clowns that we don’t.
Well, for a start, I know they’re not “far left”.
Not in your little bubble their not…back in the real world….
It might help to look up the term left and work from there.
https://www.politicalcompass.org/aus2019
I think you mean “lefterer of far right”
There fixed it for you
I was leaked a draft of the media statement…..
Lolz…anything not to raise teh rates to fix thing.
Then there;s this.
https://www.abc.net.au/news/2022-05-02/aspen-medical-political-access-pandemic-profits-four-corners/101022230
No wonder this Inane Clown Posse doesn’t want an ICAC. FMD.
We’re gonna need a bigger ICAC
These grubs are just looting the place.
Outcomes like this show the system has degenerated into crony capitalism.
And we all thought the little Hunt was leaving because of the bambino he was denying. No, this is much bigger.
Take his passport, he needs to lead a long conga line towards the big house.
According to the LNP, ICAC is a ‘Kangaroo Court’
https://www.abc.net.au/news/2022-05-03/nsw-icac-commissioner-coalition-criticism-kangaroo-court/101032736
“Buffoon” might be the nicest thing anyone’s called Scummo for a while.
As a demographer, I resemble the premise of the question.
One of the more interesting and important Scomo stories of late, on the main page of News, the best website for daily informational updates on stuff!
https://www.news.com.au/national/federal-election/currygate-scott-morrison-responds-to-raw-chicken-korma-photo/news-story/3d75abe87ad14e20cbbadc2fce3540a3
He must be very proud of his chef’s cooking to go and defend it like that.
I think the mob at work are more upset about rate hikes than they were about the WuFlu lockdowns.
We must be in really big trouble.
No one wants rate hikes at all, unless they have a societal or mental issue of course. Unfortunately the masses were conned into believing in lockdowns, the poor souls. Not out my way near the trendy beaches. We were often on the news for rebelling! We always knew it was more important to hang out with your mates getting a tan than comply with that rubbish!!
You are a man for our times and remain a god amongst mere mortals.
How are you going to cope with having an Independent as your Federal MP?
Scott, Josh, Dave and Tim all say that independents are easily bought.
Reusa will be okay.