Only read the herald article, so probably not a very balanced view of what was said, but sounds like Adrian not only knows the correct price for capital but knows exactly how much houses should cost.

If he had any sort of clue regarding the correct price for capital then houses might not have inflated to the levels they have. An investor wants a return on capital, negative real rates are not something they would accept in a free market. But if capital is available at the touch of a printing press why should we worry about the price of it. Worthless really if you think about it.

Adrian should try and do as little as possible except follow his mandate of price stability and controlling the money printing presses, but that does not seem to be in his nature.

https://www.nzherald.co.nz/business/...ORNJZ6DZZC4C4/