In this learning process policy makers can benefit a lot from the input of academic research and economic analysis. In the same way as academic research has provided very valuable insights that have helped policy makers in the conquest of inflation, the attempts to provide safeguards against financial instability will equally benefit from an active dialogue between policy and research.
However, the fundamentals that support spending continue to be weak: Real household income and wealth were flat in 2011, and access to credit remained restricted for many potential borrowers. Consumer sentiment, which dropped sharply last summer, has since rebounded but remains relatively low.