Labor policy of taxing capital to subsidise consumption would have resulted in permanently lower growth.

The RBA is in the same position as the Fed. Employment is strong but inflation is weak. The RBA thinks core inflation will rise. When it falls they will be forced to cut rates.

The RBA is persistently underachieving its inflation target. It is now time to act.

This is more than twice the average growth rate of full time employment since January 2008.

Rising export commodity prices will beat out falling house prices and make the economy stronger than expected.

Usually when commodity prices go up, the Australian dollar goes up. Strangely, now that commodity prices have gone up, the Australian dollar has gone down.

While no one was looking, rising commodity prices were generating rising tax revenue.

The Open Market Committee of the Federal Reserve now believes it has achieved its objective of a 2% inflation target and full employment.

Keeping rates stable as inflation rises provides support for the US economy to guard against a hard landing or actual recession.

On the more reliable Trend measure, there was no per capita GDP recession in Australia last year; although there was one in 2008.