"Some form of control on credit would help but Keating abolisted the federal governments control on that."
the government can reintroduce that, but it will be political suicide, and also you will find that overseas capital inflow will drop. Australia, with its relatively small economy, needs to borrow overseas (with restrains, of course) to develop our resources.
Yes, there is no easy solution and any solution will carry some pains and costs, especially for those on low incomes. Thus, as a broad principle, it is prudent long term government (which has now been delegated to the Reserve Bank) to maintain the inflation rate within a certain range.
