New Zealand exporters who were concerned about an exchange rate dominated by Auckland conditions can hardly feel confident that Sydney or Melbourne economic conditions will always be more relevant to them.
Japan’s experience is translated into what is happening in the US and elsewhere, and doubts are raised about the appropriateness and success of such unconventional measures. It is too early to draw any definitive conclusions, but no doubt in time economic textbooks will be full of evidence of the success or otherwise of QE.