The irrationality of rate rises

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Running Time: 6:02

Date: 01/08/2023

With interest rates and inflation dominating the headlines, our regular economics commentator Professor Neville Norman is asking us to challenge how the two are connected — or not.

He says the Reserve Bank appears to be living in a fairytale world, where big, external price makers do not exist. Nevertheless, Neville says inflation is likely to have peaked, and he outlines six positive things that will improve the economic situation for small businesses in coming months.