The Headlines: Should the Reserve Bank of Australia Get in the Bin?

Here’s a spicy take: Having a productive Wednesday isn’t that hard. All you have to do is inject 500 long blacks into your veins, blast tranquil ocean sounds into your skull, and suppress every emotion you’ve ever felt. Oh, and having a moment to learn what’s happening in the news won’t hurt either. So, with that in mind, here are today’s biggest stories:

A Greens Senator Wants the RBA’s Boss to Be Sacked

After the Reserve Bank of Australia announced yesterday that they’ve raised interest rates for the fifth time in a row, not everyone was a happy Jan. Take for instance, Greens Senator, Nick McKim, who took to Facebook to declare, “Philip Lowe should resign as Governor of the Reserve Bank for misleading Australians about interest rate rises.”

“Lowe induced hundreds of thousands of Australians into taking out mortgages by saying that interest rates would not rise until 2024, unless there was sustained wages growth,” explained McKim. “Having failed to keep that commitment, he should now resign.”

However, while there’s an argument to be made that Lowe misled the public, some economists believe that he made the right decision yesterday.

“The RBA is, in fact, lifting rates for a very good reason,” wrote Cherelle Murphy for The Sydney Morning Herald.

“It needs to slow down inflation because rapidly rising prices are bitter, especially for vulnerable people. They eat into household budgets, stymie business activity, threaten jobs, and strangle the economy.”

Labor Plans to Free Up Homes For Young Families

Labor is dropping some legislation today in the Lower House that, if passed, would be a boon for most Aussies. These folks are wanting to give retirees an extra 12 months to buy, make, or renovate a new home before their pensions take a hit. According to The West Australian, this move might incentivise pensioners to downsize more quickly, and thus, free up the housing market for newer Aussie fams.

“We don’t want people putting off downsizing to a more suitable home because they are concerned about the impact it could have on their payment rate and overall income,” explained Social Services Minister, Amanda Rishworth.

She additionally stated, “These changes will give pensioners more flexibility to find a suitable new home and it will hopefully free up larger housing stock for younger families who need it.”

Related: Australia’s Interest Rates Rise For a Fifth Time in a Row

Related: Should You Refinance Your Mortgage or Not? That’s the $19 Billion Question

Labor Wants to Drop the Price of Prescription Meds

In some excellent news, the price of Australia’s prescription medications will probably be dropping next year. The Australian Government wants us to spend around 30 percent less when buying their Pharmaceutical Benefits Scheme scripts. Our maximum general co-payments will go from $42.50 down to $30.00.

“I’m really pleased that we’re introducing this legislation to make many medicines cheaper for Australians,” said the Prime Minister, Anthony Albanese. He also commented, “My Government is serious about delivering on our election commitments and easing the cost of living pressures.”

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