But the long period of ultra-low interest rates comes with risks and side effects, some of which I have mentioned earlier. And what might be, by pure chance, the right amount of monetary stimulus to kick-start lending in one Member State might over-rev the financial engine in another. 4/7  BIS central bankers' speeches  That’s when macroprudential policies come into play.
2  BIS central bankers’ speeches  Between 1929 and 1933, US real output fell by more than a quarter. In contrast, between 2007 and 2009, US real GDP fell by around 5%. In the Euro area the recession was equally severe but, again, not comparable in scale to the events of 1929–1933.