Commentary 
It began in Australia when its central bank publicly and clearly stated its quandary. Consumer prices are rising too quickly there as elsewhere, yet more and more it appears as if those prices are leading the country, like the rest of the world, into dark recession.
What to do as a central banker?
The easiest choice would be to (try to) deal with what’s already in front of you. Consumer prices have been causing distress, whereas the contraction, as bad as it may get, remains, to many, only a possibility, even if a strengthening one.
Australian authorities opted for a middle ground, as the Reserve Bank of Australia (RBA) voted to raise its benchmark cash rate by just 25 basis points (bps). This was the second in a row at a quarter-percent, following what had been four straight 50 basis-point rate hikes through the middle of the year, a tacit acknowledgement of the evolving nature of economic risks….