Reserve Bank

Reserve Bank governor Philip Lowe apologised to those who took out home loans on the basis of his promise not to raise interest rates. But he had no apology for wage earners trying to make ends meet amid sharply rising prices. Peter Boyle reports.

The economic slow down means the Coalition will either abandon its promise of increasing budget surpluses and increase government spending — on infrastructure for instance — to stimulate the economy or it will double down on its commitment to a surplus, necessitating spending cuts. Its track record suggests the latter, writes Graham Mathews.