samchain/econo-pairs-v1 huggingface dataset:
The Spectre of Monetarism Speech given by Mark Carney Governor of the Bank of England  Roscoe Lecture Liverpool John Moores University 5 December 2016  I am grateful to Ben Nelson and Iain de Weymarn for their assistance in preparing these remarks, and to Phil Bunn, Daniel Durling, Alastair Firrell, Jennifer Nemeth, Alice Owen, James Oxley, Claire Chambers, Alice Pugh, Paul Robinson, Carlos Van Hombeeck, and Chris Yeates for background analysis and research. 1  All speeches are available online at www.bankofengland.co.uk/publications/Pages/speeches/default.aspx  Real incomes falling for a decade. The legacy of a searing financial crisis weighing on confidence and growth. The very nature of work disrupted by a technological revolution. th  This was the middle of the 19 century. Liverpool was in the midst of a golden age; its Custom House was the national Exchequer’s biggest source of revenue. And Karl Marx was scribbling in the British Library, warning of a spectre haunting Europe, the spectre of communism. We meet today during the first lost decade since the 1860s. In the wake of a global financial crisis. And in the midst of a technological revolution that is once again changing the nature of work. Substitute Northern Rock for Overend Gurney; Uber and machine learning for the Spinning Jenny and the steam engine; and Twitter for the telegraph; and you have dynamics that echo those of 150 years ago. Then the villains were the capitalists. Should they today be the central bankers? Are their flights of fancy promoting stagnation and inequality?

The first danger is that there are sharks lurking under water-- in the form of highly leveraged institutions and hedged funds. No matter how well you try to manage your economy, no matter how good your intentions, there will often be some things out of synchronization. This will cause your currency or your stock market to be temporarily out of balance, or even wrongly perceived to be so. This is exactly when you need some time to work out the problems. But the attack by sharks can rob you of this precious time. I asked myself -- how can these sharks create so much trouble for the emerging markets? The problem is that these sharks are often able to command oversize resources financed by large international banks. I strongly believe that these financing should be curbed. Leveraging beyond a certain threshold is particularly risky. I propose that the international banks that give credits to such institutions should be required to weigh these risks, in their capital requirement calculations, at a much higher rate than the 150 per cent currently being considered in the new Basle Accord. The second danger is that during good weather you tend to get assistance from many international banks. They will give you tow lines hitched to their catamarans that help increase your speed. However, when your ship starts to leak, they tend to cut the lines just when you need them most. On this issue, therefore, I strongly support the idea of private sector involvement that the IMF is proposing.
To maintain the IMF’s effectiveness, it is essential for our membership to resolve the difficult issues that have been raised about our own governance – notably, the voice and participation of emerging market economies and developing countries in our institution. All members countries should have adequate voice and participation in the IMF’s decision-making, and the distribution of our quotas should reflect developments in the global economy. In this connection, the ongoing 13th general review of IMF quotas provides an opportunity to make progress on this front. 4  BIS Review 43/2005  Further, given the demands placed on the IMF by its members, it is clear that the institution’s resources must be commensurate with the tasks it is asked to perform. This ongoing strategic review will help us to identify needs, define priorities, and consider possibilities to redeploy resources from lower-priority areas. Regardless of the outcome, IMF management, and our Executive Board, are committed to making the most effective use of resources entrusted to them by our membership. Efforts must therefore continue in the search for greater efficiency gains. One important aspect of this concerns the cooperation and division of labor between the IMF, the World Bank, and other international organizations. This is an issue which may bear revisiting, and I am very much looking forward to working with President Wolfowitz, and to learning his views and vision for the Bank.

For a short presentation this could be too ambitious, so I will have to leave out some parts of the story. I will concentrate in some issues that I believe are essential for understanding the present state of affairs: global imbalances, the financial crisis, emerging economies’ growth and globalization, with its inflationary effects and “decoupling” phenomenon. I will continue with some policy lessons and implications on the Chilean economy. But first allow me to make some reflections on economic policy. Entrepreneurial success and failure are inherent to market economies. This is also true in financial entities. We know that in the corporate world rotation is high, with firms coming in and going out, and jobs being created and destroyed. This is at the cornerstone of Schumpeter’s destructive creation, and explains a substantial part of progress and productivity growth. However, there are negative externalities. Miscoordination and contagion problems, especially in the financial system, have the potential to amplify the cycles and transform destructive creation into destructive destruction. A financial institution in distress does not make the headlines, but when complications become systemic, the consequences can be very disturbing. It is thus crucial to prevent problems in one specific sector from spreading across the whole economy, with costly consequences. Hence the importance of safeguarding the economy’s financial stability. Until a while ago, when I was asked to speak about financial stability I normally discussed evidence from developing economies. We have learned than exchange-rate crises are costly per se, but if accompanied by a financial breakdown the cost duplicates.
This is particularly important as the Riksbank has such a high degree of independence. This independence means that it is important to be able to evaluate how we are carrying out our duties. To make it possible to evaluate us, we must be open and clear in everything we do. But it is perhaps not as self-evident that the responsibility of public authority makes a number of other demands on our actions. This applies, for instance, to the forms for how we make our interest rate decisions and how we communicate our monetary policy intentions. The latter is usually called “signalling” in central bank language. I shall return to this. Transparency – being open and clear It was long common for central banks to be secretive and a little mysterious. One example, which today may sound fairly strange, is that the Federal Reserve, the US central bank, did not begin publishing the interest rate changes it had decided until 1994 1 . However, over the past fifteen years, central banks have in general become increasingly open and clear with regard to their actions and intentions. This applies both in inflation-targeting countries like Sweden and in countries that have not quantified a target, like the United States. Democratic reasons for transparency… There are several reasons for the increased openness and clarity, or transparency, as it is usually called. The most important one is probably that the central banks have become more independent in relation to the political system.

The public authority role means that we are at the end of a delegation chain. The people have elected a parliament which has legislated on the Riksbank’s objective and appointed the General Council of the Riksbank. The General Council in turn appoints the Executive Board with six members who are to make the monetary policy decisions. This type of delegation may be appropriate when political decisions risk leading to time horizons that are too short. This problem is dealt with in monetary policy by the Riksbank having a high degree of independence and a clear statutory task. Delegation may also be appropriate if there is a question of technically complicated activities. Monetary policy is such an activity. There are also many other authorities, for example, the Swedish Nuclear Power Inspectorate and the Swedish Civil Aviation Authority, who are responsible for technical issues that have considerable importance to society. Most people probably think that, for instance, the length of a runway at an airport or the design of the cooling system in a nuclear power station should be determined by experts and not through political voting. Some of the demands made of us on the basis of our role as authority are fairly obvious. We must, for instance, to the best of our ability try to meet the price stability target we have been allocated. We must also be able to explain in a good way to the general public why we act in the way we do.
Thank you, and I wish all of you a successful conference and a productive time at the SIRC and in Singapore. 6  BIS central bankers’ speeches

The banks will have to divest all control of non-financial activities, and remove all cross-shareholdings. This will help ensure that all transactions with nonfinancial entities remain at arms length, that the interests of the bank are not confused with the other interests of the controlling shareholder, and that management attention stays focussed on the increasingly complex business of banking. If this programme works, we hope a few Singapore banks will grow to become strong regional players. Of course, success cannot be guaranteed. If the local banks lose too much ground, some of our anchor players may end up marginalised, or being taken over. Still we have resolved to proceed, knowing that doing nothing would certainly lead us into more difficulty. The local banks are strengthening themselves to compete in an open domestic market, and internationally. We have encouraged them to merge and consolidate with one another, or at least to form alliances and consolidate some of their back-end operations, so as to derive economies of scale. But the industry trends may be such that even this is not enough for them to hold their own against the large global banks. After all, even Deutsche Bank was not too big to feel the need for a merger partner. Local banks which want to be more than niche players may then need to contemplate not just foreign acquisitions, but cross-border partnerships with partners as large as or larger than themselves. The smaller European countries are wrestling with the same issue.
We are not yet finished settling the financial crisis, but that moment is rapidly approaching. I would like to thank the Supervisory Board and the Monetary Policy Committee for its work over the past year, and I wish to thank the Central Bank’s many colleagues and collaborators for their cooperation – not least the Prime Minister’s Office, the Ministry of Finance and Economic Affairs, and the Financial Supervisory Authority. I would also like to thank the financial institutions with which the Bank interacts for their cooperation. Moreover, I would like to thank the Parliament of Iceland, particularly the Economics and Commerce Committee, for their collaboration. And last but certainly not least, I want to thank the staff of the Central Bank for a job well done over the past year. 6  BIS central bankers’ speeches

And last but not least, I would like to acknowledge our appreciation to the SEACEN Centre and to our fellow supervisors for providing the key supports to this great forum. Thank you. BIS Review 96/2009  3
New issues during the year reached a record high to about $ billion and the outstanding global sukuk market has now surpassed the $ billion mark. Despite the more challenging international financial environment arising from the financial crisis that has occurred in a number of the advanced economies in the  BIS Review 97/2008  1  recent twelve months, the sukuk market while also affected, it has been to a lesser extent. Up until June 2008, it has held its ground with a total global issuance now exceeding $ billion. With greater recognition of the sukuk market as a competitive and attractive form of financing, the global sukuk market is expected to continue its growth going forward. The International Islamic financial hub evolving in Malaysia is supported by five pillars. Pillar 1: sukuk origination Following the first ever sukuk in the world that was issued in Malaysia in 1990, Malaysia has now developed a deep, liquid and vibrant sukuk market. Recently, the largest sukuk ever was raised in the Malaysian sukuk market in 2007. The magnitude was approximately RM15 billion or about USD5 billion equivalent. Despite being issued during the height of the subprime crisis, it attracted huge demand and was oversubscribed by more than two times. Sukuk origination has thus been identified as one of the important pillars of the Malaysian Islamic financial system. As of the end of 2007, more than 60 percent of the outstanding global sukuks originated from Malaysia.

Malaysia's Islamic financial hub has been built on the foundation of a comprehensive and progressive Islamic financial system that has been developed in the recent three decades. Activity in the Islamic financial system has become vibrant, in particular, in the sukuk market and in the other wholesale Islamic financial transactions. Going forward, Malaysia will collaborate with other financial centres with the aim of strengthening the international interlinkages in the global Islamic financial system. Today, Malaysia is taking another step forward and launching a global communication campaign to the world. The campaign is part of our efforts to strengthen our connectivity with the rest of the world. The MIFC global communication campaign highlights the opportunities and offerings – here in Malaysia – for investors, issuers, industries in the economic sectors and for professionals and practitioners with interest in the Islamic financial services industry. Malaysia presents itself as a meeting place for those with surplus funds and those who seek to raise funds from any part of the world. As an Islamic financial hub, the Islamic financial intermediaries are supported by institutions of learning for human capital development in Islamic finance. It is Malaysia's aspiration to participate in this exciting journey at the frontier of Islamic finance as it progresses as the fastest growing segment in the global financial industry today. In conjunction with the opening session of the MIF 2008, it gives me great pleasure to launch the MIFC Global Communication Campaign. To all the participants, I wish you a successful and productive conference. Thank you.
The Chinese economy, in particular, was in a sweet spot with rebounding growth and low inflation, with room for further public investment. Asian economies also performed well mainly due to strong domestic demand. Last year, the Thai economy grew robustly at a higher-than-expected rate of 6.4 percent. Even though the impact of the still weak global demand became more apparent in the latter half of the year, spillovers beyond merchandise exports and export-oriented manufacturing production were limited. Factors supporting domestic economy include private reconstruction investment after the flood, while domestic consumption was supported by favorable wage and employment condition as well as government stimulus measures. Inflation in 2012 remained low at 3 percent, while core inflation averaged at 2.1 percent which was well within the Bank of Thailand’s target range. This year we expect growth momentum for the Thai economy to continue, amidst remaining uncertainties in the global economy. The US has managed to avoid the socalled fiscal cliff, although uncertainties surrounding the sequestration process still remain. Structural reforms in the euro area continue slowly but on course. Japan also has an optimistic outlook, given a series of government stimulus measures to pull the country out of deflation. Improving outlook for the global economy should underpin a gradual recovery in export for Asian economies, including Thailand. We have forecasted the GDP growth this year at 4.9 percent. However, given a stronger than-expected GDP growth in 2012, this forecast is likely to be revised up for the next release in April.

I’ll just have to say that I’m fact-based. New York Fed is fact-based. And I hope we stay that way. Maureen O’Hara: Do you have alternative facts? Just checking, just checking. President Dudley: Look, I think a healthy debate is a good thing about what facts matter and how the world works. You know, people can have different models about how the world works and what’s important, and what’s not. But I think that they have to be based on real evidence. So, I’m going to continue to live in my world, which is very much fact-based. Maureen O’Hara: I think we have time for one more question, and we have someone back there who’s got a mike. Audience Member: Yeah, Mr. Dudley, I have a question. You mentioned that there was some nefarious behavior by banks. I heard you mention that there was some nefarious behavior going on by banks during the financial crisis. President Dudley: Well, the employees of banks. Audience Member: Ok, employees of banks. My question is, there was – some of the big banks, including J.P. Morgan and Bank of America, basically bailing out the government and the FDIC, buying institutions like Countrywide, Merrill Lynch, Washington Mutual. In some of these cases, they were given winks and nods by the government that they were not going to be held accountable for let’s say the sins of these institutions that they took over.
NASP has engaged actively with us in this effort, and I'll explain why we're committed to building on our partnership through and after the crisis. Before going any further, though, let me note that I am expressing my personal views and not necessarily those of the New York Fed or the Federal Reserve System. I would also point out that the FOMC will hold a monetary policy meeting next week, which puts us well into the blackout period. This means I'll steer clear of discussing our policy outlook, and I won't be able to take any questions, but I look forward to the day when we can gather in person again for a twoway conversation. Context: The Unequal Impact of the COVID Pandemic I'll begin by describing the context. Everyone here is painfully aware that the pandemic has hit the most vulnerable segments of our society the hardest, leading to highly unequal outcomes. Labor market damage has been concentrated among people of color, lower-wage workers, those with the least education, and people with disabilities. Even after recent improvements, unemployment rates for Asian, Black, and Hispanic Americans all remain in the double digits, rising a cumulative 8.7, 7.6, and 6.6 percentage points, respectively, from their pre-pandemic lows. Reductions in labor force participation for those without a college degree have been more than twice as large as those with a degree.

Daleep Singh: Creating opportunity out of crisis - extending access to the Fed’s emergency facilities Remarks (via videoconference) by Mr Daleep Singh, Executive Vice President and Head of the Markets Group of the Federal Reserve Bank of New York, at the National Association of Securities Professionals’ 15th Annual Legislative Symposium, 10 September 2020. * * * As prepared for delivery Good afternoon, and thank you, Guy, for the kind introduction. I must say, it's a bittersweet feeling to speak before you today. I'm honored to have the privilege of addressing this gathering, and I want to express my deep gratitude to you, Ron Parker, and the entire NASP membership for engaging with the New York Fed in our response to the COVID pandemic. But the context is tragic—we continue to face the worst public health and economic shock of our lifetimes, hitting people of color the hardest during a summer filled with bitter reminders of systemic racism that continues to plague our society. Today I'll share our ambition to create opportunity out of this multifaceted crisis. As you've heard me say before, we've moved at maximum speed and with maximum care to implement the Federal Reserve's crisis response. In practice, this means our policy execution has been guided by a set of principles, including transparency, governance, accountability, and access. In my remarks, I'll focus on access: what it means, and why it matters in the context of implementing the Fed's emergency facilities.
Thus, three successive governments have been loyal to this guideline and it still enjoys a substantial majority backing in the Norwegian parliament. Adherence to this policy is also scrutinized closely by the public who have developed a sense of ownership of the Fund. Another important feature of the model is that there is consistency between the size of the Fund and Norway's net financial wealth. This is ensured by the Act relating to the Government Pension Fund where it is stated that the government cannot borrow as long as the balance of the Fund is positive. The Fund has become large and is still growing very rapidly. It is projected to reach 200 per cent of Norway's GDP around the year 2010. The huge cash flow into the Fund has posed an operational challenge, which I will return to later. In 2006, the name of the fund was changed from the Government Petroleum Fund to the Government Pension Fund – Global. But the name change did not imply any operational changes and the return (the 4 per cent) continues to be a general support to the budget, not ear-marked for any specific purpose. This reflects that the Fund has no formal link to a liability side. Let me turn to the management of the Fund. The Fund is formally owned by the Ministry of Finance, while operational management is delegated to Norges Bank. This arrangement is formalised through a management mandate given to the Bank by the Ministry.

Hopefully, I have managed to shed light on some of those principles today. Thank you for your attention. 4  BIS Review 45/2007  BIS Review 45/2007  5  6  BIS Review 45/2007  BIS Review 45/2007  7  8  BIS Review 45/2007  BIS Review 45/2007  9  10  BIS Review 45/2007  BIS Review 45/2007  11