DECEMBER 2009

Economic Update

Professor Neville Norman, Melbourne University

With much of the Australian economy clearly emerging from the downturn, more interest rate rises can be expected as the Reserve Bank applies the brakes to prevent overheating. The Reserve Bank Governor has even begun flagging his intentions in advance - a potentially risky practice, says Professor Neville Norman of Melbourne University. He says that, while specific areas of the economy will continue to struggle in 2010, attention will move to other policy areas: emission taxes, industrial relations and taxation/superannuation reform.