Mac attack

The last stand of RBA exceptionalism

Architectural perspective of the Board Room in the new Reserve Bank of Australia head office building, 1964. Reserve Bank of Australia Archives PA-000271.

Former RBA Governor Ian Macfarlane and former Treasurer Peter Costello were in The Australian this week, repeating mostly mistaken claims about the RBA Review recommendations and their implications. Both are former senior policymakers and the architects of the current framework for monetary policy, so their objections should be addressed. Let’s run through them.