Interest Rates

Are you feeling the pinch of rising interest rates in the property market?   The RBA’s ongoing rate hike cycle has sent shockwaves throughout the economy and sparked broader debate regarding the effectiveness of their monetary policy approach. In the March edition of Deloitte Access Economics’ Business Outlook report, author Stephen Smith was critical of the RBA's strategy, arguing that a traditional rate hike approach is not the answer to what is currently driving inflation. In this article, we investigate what inflation is, discuss what makes it so difficult to solve, and examine whether our friends at Deloitte may have a point!