The Commonwealth government will introduce a "responsible lending test" to the consumer credit code next year according to sources. Under the new rules, lenders.....
Analysts are tipping that the Reserve Bank will leave rates where they are and that the federal government's tax cuts will not necessarily fuel inflation. Commonwealth Bank's chief economist Michael Blythe says that history shows that households take broader economic conditions into account when deciding whether to spend or save tax cuts. In 1982-83 and 1989-90 large tax cuts were delivered however these were actually followed by a slowing of consumer spending, but in 2003-04 small tax cuts produced a marked increase in spending levels.
