The end of the Great Moderation and the return of volatility

Since the mid-1980s, the macroeconomic volatility has declined to a postwar low. 

The Covid-19 crisis brought one of the largest economic shock in modern history and could mark the end of the Great Moderation i.e. a turning point with higher economic volatility and a shift to a higher inflation regime. Those factors are likely to lead to higher financial market volatility than in the previous two decades.”

You can now read the full whitepaper at the link below