I will then cover the actions taken on the monetary policy front by the European Central Bank (ECB). I will remind of the limits to what monetary policy authorities can do, stressing the importance of fiscal policy, sound investment strategies, and structural reforms. Finally, I will turn to macroprudential policy as the last – but not least – piece of the puzzle.
BIS Review 159/2008  3  this unexpected “wake-up call” turned out to be less motivated by global stability considerations, than by more prosaic concerns about the widening bilateral trade gap of the United States with China, entirely attributed to the undervaluation of the renminbi.