Political fight over Reserve Bank interest rates and cost of living heats up
A war of words has broken out over the Reserve Bank, with National calling for a pandemic-period monetary policy inquiry and Finance Minister Grant Robertson hitting back by describing Christopher Luxon as “captain hindsight”.
The fight as Parliament resumed came courtesy of an essay written by Reserve Bank governor Adrian Orr’s predecessor Graeme Wheeler and economist at the New Zealand Initiative Bruce Wilkinson.
In the essay – highly unusual for an immediate former central banker in New Zealand – Wheeler lashed his successors for running ultra-loose monetary policy and accused central bankers around the world of being far too confident in their ability to manage inflation.
On the back of the report, the National Party has called for an independent inquiry into the Reserve Bank’s monetary policy response from March 2020 until late 2021 “to better understand the lasting impact of key decisions, the length of stimulus and any lessons that can be learned for the future”.
Oh now Aloha Luxon wants to play Captain Hindsight does he?
Yes the Government printing billions to keep the market from panic inadvertently enriched the wealthiest by a Trillion (although I’m guessing that Trillion has taken. unit of a battering recently), but that was textbook Central Bank response set against a Financial landscape where $25Trillion has been printed and pumped into asset and stock super inflation since 2008 so getting virginal now after the super orgy of capitalism seems a tad twee from National!
They did the exact same thing with Key during the 2008 Great Recession so let’s cut the bullshit.
Late Stage Capitalism is upon us, how will we found a new degrowth model in the face of geopolitical shockwaves severing ‘Just-in-time’ supply chains compounded by war and ever intensifying climate events?
That’s the question we need to be answering, not some navel gazing exercise trying to apportion blame for decisions made blind in the heat of a once in a century pandemic.
The coming economic recession will be incredibly damaging, we urgently need solutions, not more political point scoring blame games.
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If Luxon was such a loser he would not need your constant attention. He is or leader in waiting I believe
Nah. He’s just as much a loser as Judith before him, and Muller before her, and Bridges before him, and English before him…..etc.
Martyn’s been quite evenhanded pointing out Lyin’ Luxons inadequacies compared to those earlier Nat clones.
Pity Trevor that you want the autograph of an auto-mobile from the capitalist factory. It’s shank’s pony for the most of us. Are you trying to leave the proletariat; do you feel like Roger’s Mob that you don’t quite belong in the lower class with those who work with physical materials?
If PM Adern wasn’t such a winner she would not attract the incessant derogatory attention and trolling etc. she gets from Right-whinging detractors. They know that if they cannot denigrate and defame her – mostly with hearsay and misinformation but little hard evidence – he, and they, will lose; she will win!
You don’t need evidence to slag the PM off, you can say whatever you like unchecked, just ask Bobby.
could say the same about the rights fetish for slagging off jacinda trevor
For a couple of years I have been saying Beetroot and Grunter kicked the proverbial can down the road with their ‘pump and dump’ of domestic consumption during 2020-2021. Yes the looming recession and current inflation is all not on them HOWEVER their actions have/will contribute with New Zimbabwe being hit one of the hardest in the OECD when the recession in it’s zenith.
We have inflated the fuck out of our landed assets (well above replacement value or indeed economic value) and the only way is down. When businesses can’t fund themselves because their houses’ value is under water and the batch has dropped 35% in value they will get angry and look for someone to blame.
We all know it won’t be Te Reo Luxon and his woketards. This is all on Grunter and Beetroot – it was their stop gap plan to beat a recession. A Hawaii holiday will be a distant memory.
We’re fast approaching the point where Luxon wins for the same reasons Biden did, the same reason Trump did, and the same reason Jacinda did. We’re in peak knee-jerk politics, where neither party represents voters adequately, and people just schizophrenically change loyalties because “the opposition can’t be worse than what we have now”. We really need to free ourselves as much as possible from central government political interference and start focussing much more on empowering local government imo.
Wait a minute. Isn’t Jacinda still recognised internationally as a remarkable leader. I admire her and wonder what shit fight would have come with National in charge of a pandemic. “I know, right !”
A leader in waiting? ….. for what?…….environmental non-action? ….. to open the boarders to anyone with 10 million? ….. embarrassing diplomacy? ……bullshit visits to the provinces? …… or simply for God to give him guidance?
So the wonderful academic professionals of the economical go all around the book of economical to arrive at it’s all Adrian Orr’s fault with total disregard for real inflation the housing crises, energy crises, food crises, corona whatever!
Listen people. This isn’t Rocket science. These are very real risks. These economic professors can’t even broached the very real problems. Credit and counter party risk appears to grow with each document that reviewed.
Wheeler just needs to zip it.
Reserve Bank governors need a good b*ll*cking from time to time.
There was nothing “inadvertent” about enriching asset owners, especially the homeowners, which is the biggest group of assets. That was its intention.
And to hell with the young and poor….they will be someone else’s problem after Robertson’s retirement.
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