Early lessons from the crunch
Over the past three months, as central bankers continued their bid to nurse the interbank market back to health by repeated injections of liquidity, they were also heavily involved in the debates about the lessons to be drawn from this episode. These focussed on three broad sets of issues:
• To what extent were monetary policy mistakes responsible for the crisis and for creating the conditions which led to it? Specifically, did central banks collectively, and the Federal Reserve in particular
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