Analysts are beginning to warn of possible deflation dangers. Amidst interest rate cuts from around the world, some analysts are predicting possible deflation in the coming future. Technically, deflation is the opposite of inflation, it is the increased valuation of money, leading to falling prices and decreased economic activity. Subsequently it can lead to increased reliance on debt and in general an unpleasant economic outlook. At the early stages of the current economic downturn, arguments for or against possible deflation are likely to be ... Read More

The government’s proposed bank deposit guarantee scheme is planned to be instituted before the November 8th election. While previous government statements placed the timeline for the scheme as being before Christmas Day. This announcement seems to be a warning or an indication of intent so far, as there were a number of details omitted by Michael Cullen concerning the Bank Deposit Scheme. Predominantly the missing details are those surrounding the involvement and requirements from the Australian government and banks in regards. However, previous ... Read More