Get all your news in one place.
100's of premium titles.
One app.
Start reading
The Guardian - AU
The Guardian - AU
Business
Greg Jericho

The Reserve Bank wants unemployment to rise. It should be careful what it wishes for

Pedestrians on a city street
The RBA believes unemployment needs to rise to reduce inflation. Photograph: Paul Braven/AAP

On Tuesday the board of the Reserve Bank made it clear it wants higher unemployment and will keep raising interest rates until it achieves that aim.

The RBA raised the cash rate from 3.1% to 3.35%, for a total 325 basis points rises since April – the fastest since 1990:

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.