I'm reading Ray Dalio's "An In-Depth Look at Deleveragings", and at one point he's talking about central banks providing liquidity and credit support, and he states:
"This produces relief and, if done in the right amounts, allows a deleveraging to occur with positive growth. The right amounts are those that a) neutralize what would otherwise be a deflationary credit market collapse and b) get the nominal growth rate marginally above the interest rate to tolerably spread out the deleveraging process."
I'm not sure I understand point b here. Could someone explain the interplay between nominal growth rate and nominal interest rate, and how they affect the deleveraging process?