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The credit crunch and current events did not have the same "sudden shock" factor, but Zoellick said there was less room to manoeuvre this time around.
ReplyDelete"Most developed countries have used up their fiscal space and monetary policy is about as loose as it can be," he said.
Zoellick said the eurozone's structure "could turn out to be the most important" challenge currently facing the world economy, with some hope for Spain and Italy but debt-crippled Greece and Portugal unable to devalue.