E&OE TRANSCRIPT
Topics: Economy; Reserve Bank; Jim Chalmers
SARAH ABO, HOST: Welcome back to Today. Well, Treasurer Jim Chalmers is this morning denying claims of a rift with the RBA after accusing them of smashing the economy. Joining us to discuss those headlines is Minister for Social Services Amanda Rishworth and National Senator Bridget McKenzie. Good to see you both. Amanda, let's start with you. Chalmers is being slammed for undermining the Reserve bank. Is the criticism justified?
AMANDA RISHWORTH, MINISTER FOR SOCIAL SERVICES: Not at all. Jim Chalmers has been saying this sort of thing for some time. It's a fact. The fact that there's global uncertainty and higher interest rates is hurting households.
SARAH ABO: But Amanda he’s taking aim with the shovel, that’s clear.
AMANDA RISHWORTH: Well, no, I don't think he's doing that. What he said on a regular basis is that we have the same objective, to make sure that we get inflation under control but also not hurt people and not smash the economy. And what we're doing is finding that balance as a Government. We are making sure we're getting the Budget in better nick, we're supporting people where we can and, of course, tackling inflation as the primary goal. So, I think what is pretty self-evident.
SARAH ABO: Whose fault is it, though Amanda? Is it the Government's or is it the RBA's? Because remember when interest rates went up just before the federal election and back then it was all the Coalition's fault?
AMANDA RISHWORTH: Firstly, I would say that what we are doing is finding a balance. We are finding a balance, and that's what's important in this, tackling inflation and making sure that we tackle inflation responsibly, but also support people under pressure. Now, I would highlight that the Coalition's answer to this is just to cut health, cut housing, cut spending. That's what they're saying. Now, that would hurt the economy significantly and would be completely irresponsible. So, we've got to find a balance here and that's exactly what we're doing.
SARAH ABO: So, over to you, Bridget. What is your solution?
BRIDGET MCKENZIE, NATIONALS SENATOR: Sarah, I mean, you've heard Amanda run out the Labor Party TP's, while Australians are struggling with mortgage payments higher than they've seen in their lifetime and rents that are going through the roof. They're shifting the blame every single day of the week. The reality is that Labor's spending profile over the last three budgets is to blame for inflation being higher for longer than it needs to be. The fact is interest rates are going down, Amanda. These are the facts in the UK, Canada and New Zealand, they're coming down in the USA. And the reason that ours are staying higher, inflation and interest rates are staying higher, is because Labor won't get its own Budget under control. That is economics…
AMANDA RISHWORTH: … That is just not the case Bridget. Two surpluses Bridget.
BRIDGET MCKENZIE: … Amanda, I'm not going to have you interrupt me. So, Dr Chalmers has a PhD. It's not in economics. Our Treasurer, but his PhD topic is into Paul Keating, the last Treasurer and Prime Minister to oversee a recession where people did lose their houses. Unemployment went through the roof in the early nineties. The last time Labor, you know, had any long period in power with the Hawke Government. So, for Labor to continue to shift and not take any responsibility…
AMANDA RISHWORTH: … Well Bridget if you want to go to a history lesson.
BRIDGET MCKENZIE: … Stop shifting blame and take some responsibility.
AMANDA RISHWORTH: … We’ve had two surpluses, you haven’t had any surpluses when you were in Government.
BRIDGET MCKENZIE: … the laws of economics don’t change.
AMANDA RISHWORTH: … You can’t just keep talking and think the truth isn’t going to come out Bridget.
SARAH ABO: Sadly, we do have to go. I wish we could solve the problem right now. We can't. I was going to ask you ladies what you wanted to do as kids, but it doesn't matter because you're both politicking very well. And Bridget, I must say, I love that get up this morning. Rock it next time as well. Carlos, over to you.