6 Apr 2023

OCR rises an over-correction, economics professor says

From Morning Report, 7:10 am on 6 April 2023

An Auckland University economics professor says Reserve Bank attempts to control inflation risk spinning out of control. 

Robert MacCulloch says the recent official cash rate rises are an over-correction. 

The central bank raised the rate half-a-percent to 5.25-percent yesterday; higher than most big bank economists had been expecting. 

Is the central bank now taking things too far?

MacCulloch spoke to Corin Dann.