The RBA's caution is an economic hazard

The Reserve Bank should be doing more to balance rising house prices, weak business investment and the high dollar, but it has instead chosen a course of inaction.

The Reserve Bank of Australia has once again made it exceedingly clear that they are happy to leave rates unchanged for the foreseeable future. But it faces a difficult balancing act between rising house prices and a stubbornly high dollar – two challenges it appears somewhat reluctant to tackle.

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