To kill inflation you need to get on top of it hard and early....sure there will be problems from raising rates that create more inflation but that wont be as long lived
The biggest weighting in the CPI is rent, every time they raise rates and cost Joe blow $100 a week he passes on a $50 rate rise...everyone loses expect those who own their homes...unless the values of their homes keep falling which you would think is a logical conclusion
I think the RBA is forecasting 10% raise in rents this year, that alone should equal a few more rate rises...off top of my head another 1.5% increase
