Last week, something notable occurred.
Two days out from the US presidential election, the chief economist of the International Monetary Fund issued a warning.
She said the global economy was in a "liquidity trap".
"For the first time, in 60 per cent of the global economy — including 97 per cent of advanced economies — central banks have pushed policy interest rates below 1 per cent. In one-fifth of the world they are negative," Gita Gopinath warned.
"With little room for further rate cuts, central banks have deployed unconventional methods.
Read more: https://www.abc.net.au/news/2020-11-08/the-world-economy-is-in-a-global-liquidity-trap/12861324
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