The RBA's shift to worrying about financial stability could be hurting Australian wages
- Written by Stephen Kirchner, Program Director, Trade and Investment, United States Studies Centre, University of Sydney
The Reserve Bank of Australia (RBA) is making an explicit trade-off between inflation and financial stability concerns. And this could be weighing on Australians’ wages.
In the past, the RBA focused more on keeping inflation in check, the usual role of the central bank. But now the bank is playing more into concerns about financial stability...