Migration's impact on inflation – it all depends

Migration's impact on inflation – it all depends
More temporary migrants have lower demand impacts i.e. they might not buy a house. (Image: Getty)
Jem Traylen
With migration flows at near-record levels, the Reserve Bank of New Zealand has been pondering its relationship with inflation.Unfortunately, according to Reserve Bank of NZ (RBNZ) chief economist Paul Conway, there are no clear rules of thumb.This contrasts with, say, the relationship between inflation and government spending, where it’s already well understood that if the latter expands, then our central bank needs to cool the inflationary jets.Exceptionally highNZ has exceptionally high migration per capita, both inward and outward, co...

More Economy

What Willis was told ahead of Orr’s shock resignation
Economy

What Willis was told ahead of Orr’s shock resignation

Documents released under the OIA shed some light on what happened.

Westpac Bank’s Eckhold says April cut likely wrong move
Economy

Westpac Bank’s Eckhold says April cut likely wrong move

Economists are widely expecting a 25 bps rate cut next week. 

Credit card issuers fear ComCom proposals
Finance

Credit card issuers fear ComCom proposals

The proposed regulations will stifle banking competition, says Mastercard.

Willis can do more to fix banking competition
Finance

Andrew Body: Willis can do more to fix banking competition

A competitive banking system needs more than lower capital adequacy ratios.