Fourth, if, despite the efforts of monetary policy, persistent deflation does become embodied in expectations and the zero interest rate does become, or threaten to become, a binding constraint, there will be a role for other policies. If there are structural rigidities which reduce the returns to capital,  5  See 'The MPC and UK Economy: Should we fear the D-words?
In the past decade, the use of advanced payment means has increased, both in terms of the percentage of transactions, and even more so – in terms of transaction amounts.