Nevertheless, the fundamentals are in place for a return to sustained healthy growth: Imbalances in inventories and capital goods appear largely to have been worked off; inflation is quite low and is expected to remain so; and productivity growth has been remarkably strong, implying considerable underlying support to household and business spending as well as potential relief from cost and price pressures.
In an increasingly globalized world, the possibility for localized problem solving becomes more and more difficult and we must put additional effort on taking pre-emptive action in the future. The experience has taught us that efficiency and effectiveness of measures that are justified by future possible outcomes is only productive when communicated with well-informed and properly educated market participants.