From memory after about 1973/74 inflation averaged about 12% for the remainder of the 1970s and about 8% during the 1980s. High inflation occurred in a number of western countries and there seems to have been some sort of transmission of it from the USA. Paul Volker (US Federal Reserve Chairman) brought in very high interest rates there and solved their inflation problem. Australia ended up with very high interest rates at various times, including a stint from the early 1990s under Keating. The high interest rates seemed to have collapsed some bubbles in the financial system, causing unemployment, but ultimately laying the foundation for a period of low inflation coupled with growth.
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