An example of a
regular moderate crisis is Sweden in 1993:1, where the Economic Outlook referred to “the capital
bases of most major banks rapidly eroding,” and said government rescue operations could cost
up to 4½ percent of GDP (OECD, 1993:1, p. 115). It also said, “greater weakness of demand
could be accentuated by rising capital costs in the event of larger loan losses” (OECD, 1993:1, p.
115).