@JonathanTurley He is wrong a fair amount, for silly reasons, but has also been right a fair amount- I give him credit for at least following through on his talk... in both directions.
@GreenTyler27 She did tell Australians... but what percentage of Australians both heard and understood? It is the job of the media to amplify and explain, but that is not happening.
Koch tells RBA to ‘name who forced your hand’ on next rate rise - The Australian - 22 Sep 2026
Mr Koch’s open letter to RBA governor Michele Bullock says “a meaningful slice of the inflation your board is trying to contain is not being generated in a shopping centre. It is being set in a cabinet room”.
Household spending is down with families now “at a kitchen table with a calculator”, economic growth is subdued and business conditions are negative for the first time in six years.
“So who did the growing? Government, and not by a little,” he says. “Commonwealth government spending has climbed to 26.8 per cent of GDP… the highest level outside the pandemic since 1986. State government spending isn’t helping either.
“Public sector wages grew 3.4 per cent against 3.1 per cent in the private sector. ABS CPI data suggests government-influenced prices have been rising much faster than market-driven prices, with categories such as childcare, education, healthcare, utilities and insurance doing much of the work. In other words, some of the stickiest price pressure isn’t coming from shoppers splurging… it’s coming from prices governments set, subsidise, regulate or index.”
Oil is only part of the story. And Aussie households have already paid, absorbing three rate rises this year. “Households complied. Governments didn’t seem to.” he says. “Yet only one of those two gets the higher interest rate bill.”
He is calling for “plain speech, backed by numbers”.
That would mean quantifying how much of the cash rate rise is attributable to government spending fuelling demand in its monetary policy statement and showing Australians where the cash rate would sit today had public demand grown in line with nominal GDP instead of ahead of it.
He is also calling for a “fiscal statement signed by federal and state treasurers, committing to a public spending path consistent with your inflation target, with the RBA reporting publicly on whether it’s met”.
“Say it out loud,” he says. “If your board must move on 29 September, please do them (Aussies) the courtesy of naming who forced your hand.”
@CaldronPool If any group makes a large contribution, it is self evident. Contrast to when it must be stated as such- today, a sure sign it is not true.
@Potstirrer111 I'd like to add, commercial owners *should* be providing value above just the vacant space. Marketing, staff and customer amenities, driving customers, signage upgrades, upkeep on parking bays and such. This has been lost, but will be back post crash.
@Potstirrer111 I detest this behaviour, but here's how it plays out. The higher rents allow him to re-val the property and he should be able to time it so he can redraw before the tenants leave. Uses those funds to do it again. So how long can he cover interest payments before he is liquidated?
@bowtiedstocks Maybe market wide drops get to around thirty percent? House prices can't become too detached from the cost to build+land, along with immigration demand. Perhaps even outer land+pre-fab plays a role.