Even then, there any many other supply-side factors that have a considerable influence house prices, outside the control of the central bank. ____________ 9  See RBNZ information release (11 March 2021). The minister of Finance’s Section 68B direction and accompanying correspondence. rbnz.govt.nz/research-and-  publications/information-releases/2021/ir-2021-01 10 Reserve Bank of New Zealand (2018) Loan-to-value restrictions and house prices, DP2018/05.
Share prices may be rising due to low interest rates, but they are also increasing because the profit prospects of the firms are increasing. Don’t get me wrong: I am not an equity analyst. I am not saying that European equities are cheap or too expensive.