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For interest rates to fall, 75,000 more people need to be out of work
//politics-government.news-articles.net/content/ .. l-75-000-more-people-need-to-be-out-of-work.html
Published in Politics and Government on Thursday, November 28th 2024 at 4:40 GMT by Brian Stokes
Published in Politics and Government on Thursday, November 28th 2024 at 4:40 GMT by Brian Stokes

- As major reforms to the Reserve Bank finally appear set to pass the Senate, governor Michele Bullock has warned low unemployment is not helping bring down inflation.
The article from The Sydney Morning Herald discusses the economic conditions necessary for the Reserve Bank of Australia (RBA) to consider lowering interest rates. According to the analysis, for interest rates to decrease, the unemployment rate would need to rise significantly, with an estimated 75,000 more people needing to be out of work. This increase in unemployment is seen as a way to cool down the economy, reducing inflationary pressures. The article highlights the RBA's current stance on maintaining higher interest rates to manage inflation, which remains above the target despite recent economic slowdowns. It also touches on the political and social implications of such economic policies, with Treasurer Jim Chalmers and other officials expressing concerns about the balance between controlling inflation and maintaining employment levels. The piece concludes by noting the delicate balance policymakers must strike between economic growth and inflation control, with the potential for significant job losses being a contentious issue.
Read the Full Sydney Morning Herald Article at [ https://www.smh.com.au/politics/federal/for-interest-rates-to-fall-75-000-more-people-need-to-be-out-of-work-20241128-p5kuak.html ]
Read the Full Sydney Morning Herald Article at [ https://www.smh.com.au/politics/federal/for-interest-rates-to-fall-75-000-more-people-need-to-be-out-of-work-20241128-p5kuak.html ]
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