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Henry Thornton - Economics: A discussion of economic, social and political issues The mining boom and monetary policy Date 06/12/2011
Member rating 4.5/5
I counsel the Reserve to keep its powder dry until the situation in Europe is clearer. If there is a bad outcome, a cut of up to 100 basis points may well be appropriate, and the Board should give the governor licence to make such a cut. But if Europe somehow finds a sensible solution that allows the Eurozone nations to begin a gradual economic recovery, Australia needs continued overall firm economic policy.
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