What will stop the divergence of the wealth-to-GDP ratio?

T he wealth -to- GDP ratio has risen as a trend in all OECD countries , primarily as a result of highly expansionary monetary policies. This divergence is not sustainable in the long run, so it must stabilise or even correct. Three developments could stop the divergence in the wealth-to-GDP ratio. A fall in asset prices; Resurgent goods and services inflation ; Faster real GDP growth thanks to the stimulation of demand for goods and services via wealth effects. In the past, it was falling asset prices that stopped divergence in the wealth -to- GDP ratio .