Such creativity is essential if we are to get beyond stark and unpalatable choices entailing either massive bailouts or sweeping defaults. Finally, a successful market-based, case-by-case approach also needs to be principled. I would suggest that the essence of an effective case-by-case approach is the development of viable plans that link broad, generally acceptable principles to the particulars of a given situation.
Our full process is set out in the Monetary Policy Handbook.3 Background on 2019 Before I explain the influence of the global economy on New Zealand, it is useful to provide some brief context on the global economic environment through 2019.