This idea only works if it’s wage growth driving Inflation. Since we all know it’s corporate profits, this idea both doesn’t fix Inflation and hurts those who lose their jobs unnecessary
It will work eventually. Once everyone is completely beaten down they won’t be able to pay the inflated prices for things no matter how essential they are - and then inflation will go down.
Unfortunately the politicians have the ability to change taxes and legislature - which is what we need - but they won’t because apparently we can’t tolerate change that might hurt our rich overlords (see: 2019 election). The RBA only has one tool at their disposal but they’re expected to fix everything with it.
The government would have to employ its own people to do the economic modelling instead of relying on the same people private corporations do to assist them.
