Alan Kohler: RBA defence of interest-rate mallet highlights the truth about inequality

Inequality is worsened by the responses to both low inflation and high inflation; it’s a lose/lose, writes Alan Kohler.

The fact that RBA governor Phillip Lowe is copping a rollicking pile-on complete with calls to resign is hardly surprising – this is the first big escalation in interest rates since the RBA became independent and since household debt went above 100 per cent of income.

These things both happened in the mid-1990s and made interest rates a very big deal and entirely the fault of the RBA and its governor for the first time – so cop it, he must.