The potential for systemic risks increase, for example, due to potential build-up of leverage and liquidity mismatches at the same time or due to exposures to common networks of intermediaries.
In Australia there was also a major improvement, although less than a doubling. Inflation, which had been negligible on average until the Second World War, rose to about 4 per cent in the 1950-1973 period, with the average being pushed up by the Korean War period and the early 1970s.