Actual Price Movements in the Light of the Preceding Theory. (Chapter 11) This chapter concludes  2  BIS central bankers’ speeches  The theory must ... be regarded for the moment as a mere hypothesis, the complete validity of which can be established only by further resort to the facts of experience.
This would cast a pall of gloom over the market, with homeowners keeping houses off the market, not re-building, and trying to pay off mortgages faster, saving more, and spending less. The construction and retail sectors would suffer as a result. Under this scenario, the Reserve Bank might have to reconsider some further monetary policy stimulus.