The number one near-term economic challenge facing Australia is to make sure that the current episode of high inflation is only temporary. High inflation is corrosive and damaging. If it were to persist, it would require even higher interest rates and more unemployment to bring it back down. So, it would be dangerous indeed to allow the current period of high inflation to continue.
The action was prompt – the JP Morgan moment was not missed – and the spike of yields was removed. (cf. lesson 1) And what about the longer run? Well there have been consequences, but not those imagined at the outset.