When the End of Economic Perfection Spells Revolution
Australia’s response to Covid-19 is upending how decisions are made in a one-time recession-proof nirvana.
One chapter of the economic good life may be closing, too.
Photographer: Izhar Kan/NurPhoto/Getty
These are the most consequential months in the Reserve Bank of Australia's 60-year life, but the economic downturn of historic proportions means nobody is celebrating this diamond jubilee.
So deep is the damage inflicted by the Covid-19 pandemic that the central bank's greatly enhanced profile in the economy and markets will be with us for years. That's consistent with a tremendous expansion in the role of the state as leaders Down Under endeavor to simultaneously restore growth and contain infections. The combative relationship between the federal and powerful provincial governments has given way to national priorities, blurring distinctions between responsibilities.