Interest Rate Climate Porn attacks Australia
Henceforth and verily, a witless economic model stacked on top of a skillless scientific one says that eating beef steaks makes the interest rate rise. But, don’t worry, if you spend thousands buying heat pumps, windmills and EVs from Matt Kean’s friends, you’ll pay less on the mortgage (trust us) and Wollemi Capital, who Matt Kean works for, will make more money.
Right now, interest rates are a hot topic, so bingo, Climate Change causes that too:
Inaction to force up rates, says Climate Change Authority’s Matt Kean
By Rosie Lewis, The Australian
Natural disasters fuelled by a failure to curb global warming will make higher interest rates a permanent feature of Australia’s economy, the government’s climate change tsar Matt Kean has claimed, as analysis shows the extent to which climate inaction will harm the nation – in particular in NSW and Queensland – and reduce households’ income.
The Australian Prudential Regulatory Authority has relied on economic modelling by Oxford Economics Australia to inform its first stress test of how a changing climate could affect home insurance, with the data showing the economy fares better – albeit still with challenges – when strong climate action is delayed and taken in the 2030s rather than not at all.
Mr Kean said Australia’s prudential supervisor had put a scenario estimate on the cost of climate inaction that dwarfed the cost of acting.
“We’re talking about household incomes potentially 20 per cent lower than the status quo, persistent inflation, and rising interest rates driven not by policy mistakes but by floods, fires and other disasters made worse by climate change,” Mr Kean said.
Not only are climate models unable to predict wind, rain, drought, clouds, cyclones, and El Ninos, they also can’t predict the climate in the short run, the long run, or the past either. Therefore the economic modeling is mere fortune-telling or worse, it’s just advertising.
The data, The data
We already know both types of models are wrong. Despite humans emitting a trillion tons of CO2, Australian climate disasters aren’t costing us any more than they were 60 years ago*. This is despite rampant population growth from 11 million to 27 million people at the same time, with so many extra houses to burn, and a lot more cars to wash away. Globally, the more CO2 we emit, the less we spend on weather disasters.
Professor Roger Pielke Jnr has the data. (References below).
Source: ICA. Note that 2025 is through September.
Just one big happy Vested Interest
Matt Kean is the “fundraiser” for a team dedicated to profiting from Climate subsidies — it’s his job to try to scare you out of your cash. How else will Wollemi Capital make money?
Now he’s paired up with APRA, which is a statuary authority supposedly regulating the bankers, but which really works for Minister Jim Chalmers and is totally dependent on the largess of Big Government for it’s 844 salaries. It’s a pure Blob machine, and we can assume their lives are easier if they do things that make Jim Chalmers happier, and also do things that make voters think that Big Spending Governments are worth voting for. (ie, The Labor kind).
As for their ability to predict the economy, let’s just say APRA didn’t see the GFC coming. It was the biggest event in APRA’s economic lifetime, and they didn’t warn us.
The thing that makes interest rates rise is Big-Spending Governments with fantasies that they can change the global weather. Jim Chalmers not only has an interest in selling his renewable policy, he has an interest in blaming the rises on someone else.
Modeling is the legerdemain by which con artists separate you from your money. An obedient model will find whatever the modeler wants it to find.
This article originally appeared at JoNova