Corona-Driven "Easy Money": Will the Party Continue?
In 2020, as the coronavirus pandemic spread around the world, governments and central banks ramped up their monetary easing policies to protect their economies and prop up businesses. The sudden flood of extra money into markets drove stock prices to dizzy highs and allowed family offices to take big risks to grow their already vast fortunes, even as the real economy was suffering. Now, as the world grows more hopeful about an end to the pandemic, investors are wary. With financial authorities discussing a scale-down of their easy money programs, many people are wondering what's in store for the markets -- can they achieve a soft landing, or will the party end with a crash?

Numata Yuko (Professor, Meiji University)