The IMF is worried. Central banks are running out of options to correct the historial errors from the last recession. So what should be done?
In the IMF outlook the economic outlook is reduced. Due to the ongoing trade war and protectionism. Another reason the economic is slowdonwn is the problems in several emerging markets. Like Argentina and Turkey.
A unexpected effect of the trade war are the problems in the Eurozone. Germany economic output is going down, as China is the largest market for the exports. The tensions between Londen and Brussels is also causing reasons for concern.
The problem is that central banks have very limited opportunities to solve thos problems. Actual it is only lowering interest rates and quantative easing. This has already happened in the past decade. So what can central banks do right now? They are simply having very limited options. Or they have no option at all.