Dr Sam Wylie

That is correct.

And look, it's not all bad.

So the reason that the RBA would put interest rates up is if they're worried about inflation.

So we've had low levels of inflation through time, where inflation means the general price of things.

Let's call it consumer price inflation, CPI, consumer price inflation.

The Australian Bureau of Statistics, let's not bring in too many different players, but the Australian Bureau of Statistics looks at, just to tell you what inflation is and what CPI is, they look at a basket, a typical basket that a typical household buys.

They look at 125 things.

everything from movie tickets to cars to rents on houses to health insurance to computers, et cetera, to food and education and travel and everything.

They look at 125 things, and then they look at that basket of things that a typical household buys, how much that goes up year by year.

And if across the whole basket,

because some will go down and some will go up.

Maybe petrol goes up and computers go down or vice versa.

But across that whole basket, if their prices go up by 2%, then that's what we mean by consumer price inflation.

And that gets released every quarter, every three months in Australia, the CPI figure, and it has a big effect.

Now, the Reserve Bank of Australia, and the way you should think about the Reserve Bank is it's the bank's bank.

Just like you have a bank, like ANZ, or maybe you have a credit union, or maybe you have a building society.

But just like you have a bank, then the banks have a bank.

And their bank is called the Reserve Bank of Australia.

And just as what you want from your bank is to be able to access money when you want it and to make payments, that's what they want from their bank.

to access money, to get folding money when they want it.