First, there remain factors that create Triffin-dilemma-like pressures on the IMS. In particular, the official sector of several emerging market economies (EMEs) still consistently adds its own demand for safe US assets to the market-based private demand for US dollars.
There was an extended period of price stability accompanied by stable growth and low unemployment. In the world that existed before the crisis, central bankers were a triumphant lot. They had discovered the holy grail. 16. The unravelling of the Great Moderation during the crisis has diluted, if not dissolved, the consensus around the minimalist formula of inflation targetting.