Yes Inflation is going continue higher next year ... IMHO we will see Petrol over $3 ... Property modest growth but after such strong growth ... even 2-3% = $20K up etc
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“It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.”
― Henry Ford
behind the paywall sorry.
https://www.nzherald.co.nz/business/...IEDIZ7K2CZC2A/
Just an economists view a .5% rise in OCR and a further 1.25% increase during the year before inflation eases and RBNZ can cut rates again to prop up house prices.
"Finally, falling house prices will reduce household wealth and provide an additional headwind to consumption growth," Udy said.
That says it all the wealth effect, trickle down economics more fiat money at negative real rates to boost consumption growth, open up immigration as well, then turn around and express concern about climate change, what a f**ked up world we live in.
You even forecasted negative rates.
At a guess it sounds like you became rich thanks to loose monetary policy and low interest rates driving up asset prices and helping anyone taking risks with debt. A process that has been continuing for the last 30 odd years. It might be possible that this could change and we are reaching the end of a long term debt cycle, but it seems unlikely monetary policy will change. Change will have to come from the people getting screwed over. For example the USA is ahead of us in this regard. The deplorables in the USA, have worked out neither party is working in their favour and Trump promised them something new, unfortunately he is a liar.
As to whether you are a prick, I don't know how to set up a poll but it would be interesting to get the votes from the general public on this site to confirm or deny.
No/ there is one last cycle.
It all ends around 2030
And a new currency will replace the dollar and the debt.
If we can survive the impending war that will eventually happen (as has happened since the beginning of the long term debt cycle)
If this article is correct then full employment should not be much of a consideration for Adrian. Price stability should be his focus. Reading more articles about supply side inflation lately. A bit like the bulls*it reason Bascand gave for house price inflation. Not enough supply, monetary policy played a bit part. That said if the wealth effect works and people buy and consume more isn't that demand side inflation creating a supply side issue?
https://www.stuff.co.nz/business/127...ty-and-profits
I think we have all heard the argument that if employees are not happy with their wages then they can go and find a job elsewhere. Maybe they have.
Maybe NZ businesses should be investing in young people in NZ and training staff and paying higher wages, very costly but long term is it better than importing cheap labour from the Phillipines or India.
Thinking about it further maybe the article is an indication the RBNZ has done too much.
Sharon Zollner for RBNZ governor I say.
Pretty bold prediction OCR up from .75% to 3% in a bit over a year. I 300% rise, how would this affect mortgage rates? Will they rise in step with the OCR? Or will they rise further? Not sure how it all works.
https://www.stuff.co.nz/business/127...dging-its-bets
Sam Stubbs doesn't say the RBNZ is out of control but suggests a mountain of money chasing the same goods and services is fertile ground for inflation.
Where did this mountain of money come from?
https://www.stuff.co.nz/business/opi...what-inflation