Interest rates settings depend on forecasts of price inflation, wages and unemployment. There is now sufficient evidence to suggest that the Reserve Bank should begin to cut interest rates soon and arguably at its December Board Meeting. The balance of risks if it stays there much longer is that the economy will fall into a Continue reading »
Economy
US President-elect Donald Trump’s protectionist trade policies — marked by high tariffs — have been a major economic setback for the United States. The costs of these policies have harmed domestic buyers and caused job losses in sectors related to the targeted industries. Rather than resolving the trade imbalance issue as Trump intended, his administration’s Continue reading »
While lifting the rate of productivity growth is the obvious solution to the cost of living crisis, judging by the experience of most developed economies, it is not obvious how to restore productivity growth. According to the opinion polls the cost-of-living is the dominant political issue. Already it is clear that Dutton wants the focus Continue reading »
Like all policy instruments, the Future Fund was created to manage the challenges the country was facing at the time. The government has every right and reason to adjust and adapt the mandate to manage very different political and economic challenges today. The Future Fund (FF) was created by the Parliament at the time when the Continue reading »
The invitation said: ‘Global Multinational Corporations Summit.’ Main Topic: ‘An opening China and the World.’ So I dutifully packed my bags and headed tor Beijing. There on the 70th floor of the luxurious Shangri-la hotel I found bosses and representatives of about 30 Chinese multinationals who wanted to talk about Australia. But apart from two Continue reading »
Over the last 10,000 years or so societies have evolved from relatively simple and loosely structured groups of people to the complex entities of the present nation-states (and even a nascent world society), but in this time period the human being, as an organism, has not changed significantly. So, what has changed? The interaction between Continue reading »
Australia’s industrial policy is shifting significantly with the introduction of the Future Made in Australia Act, which aims to enhance local manufacturing and reduce reliance on commodity exports. But concerns have arisen regarding the potential inefficiencies of targeted investments and the risk of deepening regional disparities. Australia needs a broader and more balanced approach that Continue reading »
Over recent decades, the Western economic system has undergone a profound transformation, veering increasingly toward financialisation—a framework that privileges speculative gains and the accumulation of paper wealth over tangible economic output. This shift reflects a structural prioritisation of elite interests, as financial markets serve as mechanisms for wealth extraction rather than wealth creation for the Continue reading »
The question draws from what Trump effectively used in the closing weeks of the recent USA elections. Liberal-National Party (LNP) leader Peter Dutton is exploring a similar approach to winning government in the approaching Australian election. Employer groups are preparing to help him. Will Labor’s messaging on living standards satisfy the Australian working class? The Continue reading »
Trump’s anti-China 60% import tax barrier will weaken China’s economy and is predicted to have flow on effects impacting negatively on Australia’s economy. Will our political leaders now realise that Australia’s involvement in a military war against China for which they are furiously preparing, would have a devastating impact on our economy and Australian life Continue reading »