I call BS on Australia's Treasurer.

Australia announced a 50 basis point cut in the borrowing interest rate it charges banks, Australia's treasurer said that, "Today's interest rate cut and the two before have been made possible by disciplined fiscal policy delivered by this government."

BULL.  And I can prove that it's all BULL.

Australia's Bureau of Statistics shows that both their CPI and GDP are trending downward.

Via ABS here and here.

On top of that, a new report shows that Australia's home prices have continued to slide for 5 straight quarters.

The reality is, austerity is slowing down the economy, and the government is starting to worry quite a bit.  In the span of less than six months, Australia has now cut the interest rate by 100 basis points, but inflation has only continued to drop -- that's not supposed to happen, right?!?

And let me tell you, that Australian debt has increased two straight quarters, now.

In millions of AUS dollars, via ABS

Their attempts at austerity didn't bring faster or higher growth.  If you look at the period between 2009 and 2010, their matching GDP rise also correlates to their increased debt.  Stimulus spending stimulated the economy!

Brilliant, eh?