Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

The answer to that question is, no, that is not the case. The situation we are facing here in Australia is that we are an export oriented, trade exposed economy. If you have not looked for a while, commodity prices for iron ore, coal, oil and gas have actually been falling. That has had serious implications for our economy. You seem to have completely ignored that.

The truth is that, even though the official cash rate in Australia is lower than what it has been historically in Australia, it is actually still quite high by international standards. And the reason it went up post-GFC in Australia, unprecedented anywhere in the world under the Labor government, is that you put too much fiscal stimulus into the economy. You spent like drunken sailors, and, while everywhere else monetary policy was being eased, here in Australia the Reserve Bank was pushing up the official cash rate from three per cent to 4.75 per cent. Remember that? There is no precedent anywhere else around the world post-GFC where the official cash rate went up. (Time expired)