Again some things will happen as a result of cutting rates that is without question, but it won't be as bad or scary as you make it out to be. The Australian dollar falling is NOT such a bad thing in fact large portions of the Australian economy will find it a very good thing. Also the article did not mention 1 thing about cutting rates to 0% or near zero - it was only talking about smaller cuts. So once again don't over-sensationalize things but I don't think you are capable of that.
And Glen I did not say anything about what the oversea's funding rates will mean banks can actually do - but if RBA rates do come down so will bank rates maybe not by as much but they will likely come down some.
