HOT TOPICS:   Euro crisis   |   Mortgage rate cuts  |    Budget 2012

In this section

Offers for readers

The comment stream

Join the Interest community to be a registered commenter so you can:
- Edit your comments
- Avoid the CAPTCHA
- Vote on comments
Register Here

Already registered? log back in here ..

Forgotten your password? No problem! Click here

Finance sector jobs

Manager Operational Effectiveness and Assurance IT
Reporting to the Senior Manager Operational Risk Effectiveness and Assurance, the key focu...more
New Zealand
Financial Controller
Reporting to the Head of Finance - Retail and Business Bank the key focus of this role is ...more
New Zealand
Manager Finance Corporate Core - 12 Month Contract role
This role in consultation with the Financial Controller provides financial, strategic and ...more
New Zealand
IT Audit Manager - Internal Audit - Auckland
If you are motivated by the prospect of seeing the big picture, developing your team and m...more
New Zealand
efinancialcareers.com

Reader poll

Should you fix your mortgage now or stay floating?

Choices

Opinion: Bollard's Keynesian resurgence

Posted in News September 12, 2008 - 09:28am, Alex Tarrant

Chris Trotter explains why he likes the big OCR cut at policy.net.nz

"Allan Bollard should be thanked for more than simply knocking down our mortgage rates. The Reserve Bank Governor's decision to cut the OCR by 50 basis-points also represented a courageous endorsement of old-fashioned Keynesian economics...

" ... One person who will not be snorting with a mixture of derision and disgust at this latest sign of Keynesian resurgence is Michael Cullen. Indeed, Cullen could hardly have hoped for better than a 50 basis-point reduction ... "

Read the rest of of Trotter's piece here.

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

We welcome your comments below. If you are not already registered, please register to comment in the box on the right or click on the "'Register" link at the bottom of the comments. Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making these comments.

2 Comments

by John | 12 Sep 08, 10:09pm

I understood that under the

I understood that under the reserve bank act the governor of the reserve bank resigned if inflation got above 2%(?).. In addition inflation (including asset inflation) isn't healthy unless you like the idea of Richmastery types buying up the nieghbourhood.

by expat | 13 Sep 08, 7:14am

Christ, I've agreed with Trostky

Christ, I've agreed with Trostky twice in as many months.

... must not burn gold card and don cloth cap ...

The banks are pissed because they got caught with their trousers down, way down, bending over, grasping their cheeks, smiling over their shoulders with a cocquettish twinkle in their eyes, thinking they'd stand up at the last minute but found their amores were slightly quicker off the mark and now they feel soiled.

Any inference that I'm comparing bankers to cheap whores is entirely in the mind of the reader and of course not what I am intending to convey ... Yeah right.