RBA to Cut Rates in February, CBA's Blythe Says

The video discusses the impact of low interest rates on borrowing and spending, noting that many borrowers are using lower rates to pay off loans faster rather than increasing spending. It highlights the housing market's response to rate cuts, with potential risks of a bubble due to strong population growth in cities like Melbourne. The labor market remains solid, with low unemployment despite new labor force entrants. The Reserve Bank of Australia (RBA) prioritizes full employment over inflation targets. The video also explores the possibility of quantitative easing and future rate cuts, with the RBA cautious about using all its policy tools too soon.

What does the text suggest about the relationship between unemployment rates and economic growth?

What is the Reserve Bank's current stance on interest rates and quantitative easing?