Conditions today mirror 2016, when growing weakness in the global economy and wobbling financial markets caused the world’s central banks to absolutely freak out.
They responded by dumping more thin-air money into the system than ever before in history. And it worked (for them at least). Economic growth stabilized; and the prices of stocks, real estate, and other assets enjoyed another three-year joyride.
Similary, as things started getting shaky in late 2018, the same playbook was deployed. And again, we've seen stocks rocket upwards ever since.
But will the strategy actually work this time? It's unclear. And a lot is riding on the answer.