But it does require that we aim to mitigate those consequences, under the constraint that we achieve our price stability objective. That can be done in two ways. The first is by designing our monetary policy instruments in a way that minimises distortions. We did this under the APP by intervening mainly in the most “commoditised” asset classes, i.e.
In the current scenario, the larger resource base may have to be deployed with much more flexibility to help particularly smaller economies to deal with the potentially recessionary impact of exit — a kind of global macroeconomic safety net. Some operating guidelines for such a program need to be quickly developed. Thank you. BIS Review 150/2009  3