Why is the RBA deputy talking about gurus, charlatans and buffoons? It's the hidden danger in our economic debate
ABCThe media — and the internet in particular — are full of eye-catching bravado about the economy and what recent data is telling us about the future. He said, if you look at some of the data, the economy still has "a lot of heat left in it" while other data showed "it’s pretty cold and cooling rapidly". In a speech called Beware False Prophets, he clawed through market commentators who have "extraordinary certainty" about what's going to happen in the economy. His main gripe seemingly centred around the speculation around inflation and the Reserve Bank's difficult job of getting it within its target range of 2 to 3 per cent. The percentage of private school invoices being sent to an address that is not where the student lives — for example, to be paid by a grandparent The number of families not taking up, or withdrawing children from, expensive extra-curricular sport If the length of time people wait between trips to see foreign relatives is lengthening The number of 20 and 30-something children forced to move back to the parental nest, long after they flew out of it There's a lot we don't know, and you'll likely see divergent signs of economic life as you move around.
History of this topic
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