Shadow finance minister Jane Hume has claimed the government has only “artificially deflated” inflation after RBA chief economist Sarah Hunter told a Senate committee on Wednesday the economy was 'running a bit hot'.
Shadow finance minister Jane Hume has claimed the government has only “artificially deflated” inflation after RBA chief economist Sarah Hunter told a Senate committee on Wednesday the economy was"running a bit hot".
Ms Hunter said there were “pockets of strength” throughout the economy but not all sectors were enduring similar experiences as the retail sector was struggling while the health and education sectors were growing in employment numbers. “The chance of inflation coming back to that target band of 2-3 per cent has been pushed out yet again and now isn’t expected to come back to that target band until the end of next year,” Ms Hume said.
Ms Hume said one of the main points which emerged from the Senate committee hearing on Wednesday was continual supply constraints were maintaining the heat in the economy. “So it’s nearly doubled their forecast of government spending, and that, of course, is fuelling inflation further. Ms Hume was pressed on the “experimental” way Australia was tackling inflation, that despite it staying higher for longer, the upside was the preservation of jobs.
Albanese Bank Government Rate Hume Sky News RBA Interest Money Inflation Economy Coalition Australia
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
RBA interest rates: No rate cuts before Christmas, says RBA governor BullockMichele Bullock has declared “near-term interest rate cuts are not on the agenda”, warning the economy remained too hot and ruling out decreasing the cash rate before Christmas.
Read more »
Untold riches and enormous debt: why property will hold sway at the next RBA meetingAustralia's property obsession has made us among the richest in the world, but it's also saddled households with enormous debts, and made monetary policy decisions even harder.
Read more »
Interest rates: If the RBA was doing its job, it would immediately lift ratesA hot inflation figure on Wednesday would show we are in the grip of a structurally persistent crisis which has been underestimated in three of the last four quarters.
Read more »
Mortgage risks are rising but are they still understated by the RBA?Regulators keep telling us that everything is OK and Australians are coping with surging mortgage repayments. But does the reality for many households match the soothing reports?
Read more »
Why Wednesday’s inflation figures mean the RBA faces its toughest decision in a generationSome economists believe the result of tomorrow’s consumer price index is all the RBA will need to push the official cash rate to a fresh 12-year high.
Read more »
Why Wednesday’s inflation figures mean the RBA faces its toughest decision in a generationSome economists believe the result of tomorrow’s consumer price index is all the RBA will need to push the official cash rate to a fresh 12-year high.
Read more »