How governments address funding of the forthcoming fiscal stimulus is yet to be seriously tackled. My last blog Staving off recession concluded with the observation:
The future will be one where if governments aren’t directly funded by the RBA, the RBA will own some government debt. And that should include State government debt. Money owed to ourselves won’t be a burden. It’ll be our salvation.
Bill Kelty former Australian Council of Trade Unions (ACTU) secretary and former Reserve Bank board member, was reported to be working on a recovery plan.