A critical result has been the identification of key relationships that, taken together, provide a useful approximation of our economy's dynamics. Such an approximation underlies the statistical models that we at the Federal Reserve employ to assess the likely influence of our policy decisions.
The collapse of the interbank market called for action to restore liquidity. These points are covered by banking support packages and they already prove to be effective. One crucial point which remains to be solved is the problem of toxic assets.