Oz Blog News Commentary

Articles from Peter Martin

Sure, interest rates are negative, but so are some prices, and when you look around, they’re everywhere

December 30, 2020 - 18:06 -- Admin

On December 10, it finally happened. Instead of demanding an interest payment from the government in return for lending it money, a group of investors offered to pay the government in order to lend it money.

Naturally enough, the offer was accepted.

The government needed A$1.5 billion which it promised to repay on March 26.

It sought tenders. What was the lowest return an investor would accept to lend it the money?

What’s the best way to boost the economy? Invest in high-voltage transmission lines

December 25, 2020 - 10:47 -- Admin

When, in the midst of the pandemic, the Economic Society of Australia invited 150 of Australia’s keenest young thinkers to come up with “brief, specific and actionable” proposals to improve the economy, amid scores of ideas about improving job matching, changing the tax system, providing non-repayable loans to businesses and accelerating telehealth, two proposals stood out.