The interest rate was sharply reduced; the tail risk on bank losses did not materialise as much as many feared, and the additional cost of rapid deleveraging turned out to be less severe than it might have been.
What has been holding investment back? There are a number of possible explanations, some of which I will discuss here. [2] In doing so, in a number of cases I will use evidence from a new database from the ABS called BLADE (Business Longitudinal Analytical Data Environment).