However, in some European countries, as various policy options have been tried to address slowdown in economic activity and lower inflation, a negative interest rate was introduced, starting with the central bank in Sweden, followed by those in Denmark, Switzerland, and the European Central Bank (ECB). How have these central banks overcome the “zero lower bound”?
And, in terms of the general future outlook for growth, we should bear in mind that the financial crisis has not impaired major drivers of growth. Emerging markets, for instance, will still make great efforts to catch up, and technical progress will continue. Thus, the crisis certainly does not mark the end of economic growth.