Will quantitative easing go far enough?

Tim Drayson, economist at Legal & General Investment Management, reviews the recent pledges of the world's largest central banks and their potential impact on the "great muddling through"

Contrary to some of the more apocalyptic predictions that were flying around a year ago, Europe remains a functioning economy and euros are still legal tender in Dublin, Lisbon and Athens. So far so good, I suppose. The bad news is that none of the fundamental problems facing Europe have gone away: massive government debt, negligible economic growth, high unemployment and shaky banks. After a year of generally muddling through, the best we can realistically hope for is more of the same. It is true that, in recent weeks, some of the more extreme risks appear to have abated. German...