Oct 18, 2021 • 21M

Inflation not embedded. Yet.

Highest inflation rate since 1987 driven by house building costs, rents, food and petrol; No signs yet of prices-to-wages spiral; Jury still out on whether inflation is 'transitional'

Upgrade to listen

Appears in this episode

Bernard Hickey
Bernard Hickey and friends explore the political economy together.
Episode details

TLDR & TLDL: Aotearoa-New Zealand just reported its highest quarterly consumer price inflation rate since the ‘bad old days’ of 1987, which was an era before the creation of the Reserve Bank Act (1989) effectively outlawed these sorts of inflation rates.

So should the Reserve Bank ‘panic’ and fire interest rates much higher and faster than it is already…

Listen to this episode with a 7-day free trial

Subscribe to The Kākā by Bernard Hickey to listen to this post and get 7 days of free access to the full post archives.