Despite denials, there are signs the RBA does consider house prices in setting rates

By Martin Duck, Post-Doctoral Research Associate, University of Sydney
Martijn Konings, Professor of Political Economy and Social Theory, University of Sydney
Monique de Jong McKenzie, Senior Researcher, Max Planck Institute for the Study of Societies

As households are squeezed by the cost-of-living crisis, central bank governors such as Jerome Powell in the United States and Michele Bullock in Australia are coming under repeated fire from politicians, pundits and households.

Before each interest rate decision, there is debate about what the Reserve Bank of Australia (RBA) should do and predictions as to what it will…

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