Australian Treasurer Scott Morrison was interviewed by The Australian Financial Review on the weekend.
- Signalled he opposes more interest rate cuts by the Reserve Bank of Australia
- Says monetary policy has "exhausted its effectiveness"
- Instead of RBA rate cuts, the government needed policies to "boost incomes and lift living standards"
- "What's more important for our economy is getting on with our fiscal consolidation and bringing forward productivity-enhancing reforms"
While favouring fiscal policy action over further RBA cuts, Morrison said rates are a "matter for the RBA"
- and "There's clearly more room there if that's what the Reserve Bank governor and board thinks is necessary."
I posted earlier on S&P on Australia: S&P's "startling warning" on Australian debt