The worst case scenario for monetary policy of course, is a combination of slow growth and higher inflationary pressures, a real double whammy scenario. Different shocks, depending on whether they be demand or supply driven, require different policy responses.
As mentioned earlier, as financial products and services continue to rise, so do risks. And we, policymakers, cannot stand idly by while the Juans and Marias continue to suffer from the limitations of our existing laws. 2/3  BIS central bankers' speeches  10.