I don't expect it, but see merit in a 50 basis points reduction. Arguably, because it's London to a brick the lower rates will not be passed on in full, and because the dollars is still too high and needs to be brought down to below 90 cents in the dollar, to allow already marginal small business to survive, when the carbon tax kicks in!

Henry one month ago you said,"The RBA should resist pressures to drop rates."

The RBA must go and we have a new people's bank that expresses our productivity debt free.In the USA income tax was initiated to pay the US Federal Reserve debt money for goods and services the people owned and produced.

Our collectivist mentality of stealing our money via fractional reserve banking and taxes must end.Let the individual own what they have produced.

Arjay,

Anybody *can* be productive debt free, just don't go into debt.

Anybody *can* keep their entire production tax free, just don't engage in commerce in the environment our common wealth provides.

Of course, if you multiply your benefits by borrowing and engaging in commerce with others using coin (OUG laughs) of the realm, in anticipation of the protection of the courts, using the nations roads etc, then you pay a percentage. How big it should be, that is the question.

Rusty

Rusty,you miss the point.Our Govts put us in debt which is totally imoral and unjust.Private banks create money from nothing to equal your increases in productivity.This means they own you,and loan back to you, your productivity as debt.

Rusty,you are a debt slave like 99% of the population.

Guess again Arjay,

I own my own home, have no credit cards and no personal loans. I keep cash *out* of the bank and invested so as *not* to subsidise banks, and I collect/ed silver coins and useful tools, and books.

Debt slavery exists, but is not compulsory. One just has to do without a lot of whatever "Jones" has for a long time to avoid it.

Once you run the risk of having money in the bank, you will demand a reasonable interest rate. It's yours after all, you earned it, you know what it's worth to you and you'll be damned if you'll just let "the government" decree what the rental should be without consulting you, the owner. Maybe that's usury, but then again, I don't *encourage* people to borrow my money.

If *you* owe money, then the borrowing of the government influences you. If you don't, then they don't have a ring through your nose (via banks). They might tax, but if you don't live too high, you don't have to "realise" too much as "income".

Make yourself a "big target" by "turning over" a lot with borrowed capital, and well, yes, you're on a slippery slope.

Of course, they might go back to just "confiscating", but we aren't there yet.....

Rusty