The effects of last week's 50 basis point OCR cut, probably won't be felt until next year - by which point the economy will already be growing

That's according to economic consultancy Infometrics - who say the Reserve Bank is walking a fine line between kick-starting the economy and over-stimulating it.

Independent economist Cameron Bagrie says you can argue both sides - but the bank should be careful.

He says the bank decided to up the ante after a weak Q2 GDP result - but they're aware headline inflation is moving up.