The monetary and fiscal policy responses to the COVID-19 pandemic set the stage for the inflation we are currently experiencing. In the debate about what drives inflation and who is to blame, one important element has not received the attention it deserves: the coordination between monetary and fiscal policy. Read more

Politicians are recently pushing for a large-scale adoption of battery electric vehicles (BEV; currently <1% of vehicles in NZ) to reduce the emissions generated by the transport sector. The emissions reduction plan supports this with $1.2bn of spending, of which $569m are used for the “Clean Car Upgrade” programme. Read more

Inflation in New Zealand has been on the rise (7.3 percent last quarter) as have the attempts to explain it. The RBNZ points to strong global economic activity, supply disruptions, and the Ukraine war. Read more

The media has largely ignored economics in the last couple of years. The return of inflation, however, has brought economic topics back into people’s minds and into media coverage. Read more