The main lesson to be learned this year is the limit of monetary policy. The story last year was that the Central Banks are the only game in town. The story this year, is that despite stimulus spending which is simply an anti-volatility policy, the economy will not achieve “escape velocity.”
I predict that the limits of monetary policy will be witnessed by the end of this year. We have a structural economic policy problem – not a monetary one.
~ Niall Ferguson, Harvard historian, speech given at the 10th annual Strategic Investment Conference in California, May 3, 2013