The interest rate adjusts the economic situation, it measures the national develops or slow down. In Australia, under the Labor government ruled in 6 years from 2007 to 2013 with Prime Minister Kevin Rudd and Julia Gillard, the national economy managed by Treasurer Wayne Swan and Finance Minister, Senator Penny Wong, both seemed not to understand the basic economic lesson, so every time, the Reserve Bank of Australia cut the rate, they were happy and misunderstood the economic growth, indeed, the economy slowed down.
The most nation respects the specialist, any government has never accepted a medical doctor doesn’t know about the pathology, the virus…certainly, the fake medical doctor practice could kill the patient. The Australia economy does need the expert economists, unfortunately, Labor Party rules the party and government by the rivals, so Prime Minister Kevin Rudd, Julia Gillard, Treasurer Wayne Swan and Finance Minister Penny Wong spent $AUD 42 billion surpluses left over by Coalition government of Prime Minister John Howard and the debt increased, now, Australia reached a trillion dollars deficit. The Coalition government received the rotten fortune of Labor left over, so the time to fix could take the long term.
The Australia economy has faced the problem for a decade, the interest rate was cut many times and in the hold, that shows the national economy slows down. Nevertheless, the Australia currency declined the valuation and now it hit the low record is 0,72 US dollar equals 1 Australia dollar. Reserve Bank of Australia Philip Lowe has not informed yet the truth, as the Reserve Bank of Australia’s media released:
” The Reserve Bank of Australia has extended its bilateral local currency swap agreement with the People’s Bank of China (PBC) for a further three years. The agreement, which can be activated by either party, allows for the exchange of local currencies between the two central banks of up to A$40 billion or CNY 200 billion. An initial swap agreement between the two central banks had been signed in 2012, with a subsequent agreement executed in 2015 for a further period of three years.
The main purposes of the agreement are to support trade and investment between Australia and China, particularly in local-currency terms, and to strengthen bilateral financial cooperation.”.
There were many countries made the critical mistake on trade ties, free trade agreement and Swap currency with China communist putting above the fair trade. Actually, China currency Yuan is uncertain while the US dollar is the most credit on the planet. Almost, the product made by China is poor quality as their currency Yuan’s valuation. Nevertheless, the dictatorial government in Beijing’s economic character is quite different from the democratic country. But the fresh and shorten interest plus the bribery’s tactic that helped China gently colonizes the counterparts, obviously, the economic vassal’s form ruined many countries in the world, including some Western.
The rapaciousness of China carries out the global hegemony to be applied by the global economic terror. President Donald Trump adjusts the fair tariffs that causes the Den of thieves and the hub of counterfeit received the damages. The economic terror is dangerously more than Extremist, the economic terror has no bloodshed but it could wipe out a country and national economy loses the independent, that means China will use the economy to control the domestic politics.
The Australia economy being slow down, actually, the currency has been driven to 20-months lows as RSA Governor Philip Lowe claims, he protects the untold reason about the Reserve Bank of Australia signed the currency swap with the People’s Bank of China. When Yuan devalued, the Australia currency follows. China hurts following Australia pains.
Reserve Bank of Australia’s Governor Philip Lowe contradicts himself when the US interest rate rises, it means the US economy develops while Australia interest is on hold. Santa’s President Donald Trump restored the economy after 8 years plunged during Satan’s period President Barrack Obama. The Reserve Bank of Australia board kept the official interest rate at a record low of 1.5% for 25 months, the national economy being struggled, actually, Australia dollar lost the valuation. The reasons come from the deep involvement with China’s economy and finance. The Reserve Bank of Australia’s governor Philip Lowe may review Australia before pouring the problem to the US. The past mistake cost the national disaster.
The war fighting against the global economic terror has affected the nations being influenced by the trade ties with the largest population’s communist country on the planet. Australia is among the victims of China trade ties and financial relationship. The time to get out of China that could reduce the risky economy. President Donald Trump doctors the economic cancer of the states being struck by China for more than a half-century. The patients do not slam the doctor, instead, they must stay away from the causes of cancer./.
(thedawnmedia.com)