The crisis in one of the most significant result was for the past few years of negative global economic growth model. Both developed and developing countries, rely on past models are unable to obtain sustainable growth, economic structure, resource allocation is always a serious imbalance in the crisis of the hidden dangers. Therefore, changing the mode of economic growth in major economies, the authorities have to work. However, due to their own interests, a global coordinated operations almost impossible. In particular, some developed economies, continue to be passed on conflicts in trade barriers, political disputes, military confrontation, with victims will inevitably form a serious obstacle to economic growth and restricts the global recovery process.

Economies of scale based on the reasons for the developed countries, the situation worsened the impact of the global economy is obvious.

Restructuring is far from complete, the current policy will not be able to stimulate a lasting markedly. Therefore, the global economic slowdown or worse results, we should be fully prepared mentally.

In the last resort, keep the quantitative easing is the first choice. In fact, the quantitative easing tournament has started, through the United States, Japan’s recent performance can be easily seen.

As the large fiscal deficit, there are very few tools available to central banks and the government again tried to purchase securities to stimulate the economy forward. However, economic restructuring is not complete without the implementation of related policies, the market may not get the money if the Government wants to conduct investment and consumption, fear of Minzhong are reluctant to carry out short-term capital costs and long-term low risk, therefore, been the result of currency issued may eventually lead us into inflation before a liquidity trap.

Again the next central bank to buy bonds and other assets of the behavior can artificially drive down long-term bond yields (long-term interest rates), which is its purpose. With the influx of hedge funds, yield rapid, significant decline in the situation will be difficult to change.

If the pessimistic forecast for the economy is correct, then the major economies (U.S., EU) of 10-year bond yield is not ruled out sliding into a more low level (0.43% was met in Japan, the United States, Europe does not exclude the 2% – 1% of the low level of possible fall). Once the long-term bond yields close to zero, if the market response at this time, as pessimistic as earlier expected, then monetary policy is doomed failure. In this way, no matter how much money will be useless, and cash will be the most attractive option, then the United States, Europe and Japan will lead the world into the real liquidity trap, the economy will inevitably fall into a long slump, will be a lot of Xian Jin the form of silt deposits in the bank, the risk of the market will enter a freeze period.

For China, the situation is also more complicated. While monetary policy is still more room for adjustment there, but precise control should be achieved some results, but slowing inflation and economic growth is still a difficult choice between things. Suppose we have chosen to strictly control the actual inflation higher, based on external and internal environment of the effects of structural adjustment, economic growth continued to slow in the future the possibility will be further increased. Under this influence, the pursuit of risk assets will be further reduced, while the investment channels and the state strictly controls the price, so speculation rising costs, forcing it into a relatively quiet period; the other hand, if the time to follow the U.S. in order to stimulate the economy Japan eased monetary policy substantially further, then the actual current situation of rising prices will be greatly encouraged to enhance the future economic uncertainty, the risk of dramatic volatility will rise, while the short-term speculation once again prevailed. On the whole, the latter appears less likely, the next state to implement wide fiscal and monetary policy is more desirable neutral. That, subject to overall market conditions, the attractiveness of the bond market, at least in the first quarter of next year, will continue to maintain, and stock and fixed asset prices lower.

Long-term risk is that uncontrolled money supply may eventually stimulate the actual prices soaring revenge, the major economies over the same period recorded a huge out of control budget deficit and the economy in a short time after the knee-jerk reaction. Therefore, the hopes of extreme, uncontrolled loose monetary policy to stimulate the economy is dangerous, and its failure may lead the economy into a vicious circle.

Perhaps we need to do is be patient and long-term planning, rather than short-term interests of the holding tightly.

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