mortgage belt suburbs be afraid be very afraid, page-12

I agree Tradem8 I only glanced across the article while doing multiple other things - I will re-read it again tonight when I get a chance.

What it does highlight then is that the current system of interest rates doesn't necessarily work to reign in inflation then. As if rates rises primarily due to consumer spending then business can get punished, whereas if business spending increases while consumer spending is reigned in then home owners are punished.

Perhaps a better system would be a sliding scale consumer tax (i.e. gst) that way if they want to reduce spending they just increase the tax and then all those that continue to spend whether it is individuals or businesses pay for it. Whereas if they want to increase individual/business spending they lower the tax.