The high value of the Australian dollar has boosted the spending power of households the past decade, the Reserve Bank of Australia (RBA) says. RBA Deputy Governor Phillip Lowe today said households were reaping the benefit of the currency’s high value.
He said that while household incomes had grown by around 60 per cent in the past decade, the Australian dollar’s rise meant that the price paid for many manufactured goods had remained, on average, virtually unchanged. “The stable prices for many goods, combined with strong disposable income growth, means there is more disposable income to be spent on services,” he said in an address to the Committee for Economic Development of Australia (CEDA) in Sydney.
Source: news.com.au
