The Conversation

Vital Signs: yes, house prices will rise with lower interest rates, but that's not the only effect

Author: Richard Holden, Professor of Economics, UNSW

With the Reserve Bank of Australia cutting official rates to 0.75% on Tuesday, has been a wave of commentary about the move doing little to help the economy apart from boosting housing prices.

Read more: 0.75% is a record low, but don't think for a second the Reserve Bank has finished cutting the cash rate

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