The economy's capacity to handle shocks has also improved, a factor due in some degree to the liberalising reforms themselves.
I would argue that macroeconomic policies have played a role too, and in particular that a monetary policy  BIS Review 15/2002  5  regime which seeks to respond to the likelihood of significant build-ups of inflationary or disinflationary pressure, has made its contribution. It is, of course, our intention to continue in that vein.