It remains as true today as a decade ago that the most important contribution that monetary policy can make to real economic growth is through maintaining price stability, and we are not about to subordinate that objective in the interests of a policy approach that implies we can buy a bit more growth by tolerating a bit more inflation. We can’t.
Nor has anything changed in terms of the real drivers of New Zealand’s growth performance. Those are found in how productive, innovative and creative we are, and how well we market what we produce to the rest of the world.