One of the finest RBA speeches ever--Phil Lowe's war on inflation

This is just a ripping and brutally honest speech. Exactly what I expected too. The RBA makes the case for an intense and vigilant campaign against future inflation pressures. Just as critically, Phil concedes that the RBA underestimated the strength of the inflationary pulse in the late 2000s, which remains something of a puzzle, and highlights that the RBA's models may once again underestimate a non-linear increase in core inflation in the future given the complexity of the underlying return generating processes. Note also, for the pedants, that RBA is no longer talking about inflation averaging 2.5% pa since the advent of its regime, as I have long argued here. Phil is very frank in acknowledging the structural increase in core inflation during the 2000s, and seeking to objectively explain it. Most significantly, most of Phil's explanations are variables that could reappear again in the next inflationary cycle...As a final comment, Phil makes it clear that this RBA has a single, albeit flexibly framed, objective, which is price stability.