tmpg ), a new york fed - sponsored group of market professionals working to support the integrity and efficiency of the treasury market, has concentrated its recent efforts on this topic. preliminary findings include an increasing volume of linked trades that clear centrally on one side and bilaterally on the other. this work has also uncovered information asymmetries in clearance and settlement risk management, which potentially could lead to a mispricing of these risks. moreover, increased understanding about the depth, breadth, and durability of credit arrangements that support clearance and settlement seems desirable. this would improve market integrity through greater understanding of risk throughout the clearing and settlement process and how it is affected by different conditions. since the financial crisis, there has been an effort to strengthen the resiliency of repo market infrastructure, which is another important element of treasury market plumbing. immediately after the crisis, the federal reserve was active in pushing reform of the tri - party repo market, which had been a locus of stress in 2008. more recently, treasury repo markets have undergone further changes, including market adaptations to post - financial crisis regulations, and the introduction of multiple programs expanding access to central clearing to a wider range of market participants. these markets also have been affected by efforts to set heightened expectations for ccps with regard to liquidity risk management, margins, and governance and recovery planning. this is consistent with the treasury department ’ s recommendation that regulators ensure appropriate risk management at ccps and other financial market infrastructures. for example, earlier this month, the sec approved the capped contingency liquidity facility — a liquidity risk management tool for the dtcc ’ s fixed income clearing corporation ( ficc ). this tool helps to ensure that ficc will have sufficient liquidity to cover the default of a government securities division member to which ficc has the largest exposure. this development reflects another positive step toward a safer centrally cleared repo market, and aligns well with broader official sector efforts to maintain a well - functioning and robust treasury repo market. finally, the joint staff report identified the importance of strong interagency monitoring of the treasury market, in close collaboration with the public. judging by this gathering, the commitment to this task is strong — which is good because many questions remain. how can the joint member staffs and private stakeholders best collaborate to ensure stability in the treasury market as the market structure evolves and new technologies are applied? how should practices and culture evolve accordingly? will new technology and

william c dudley : beyond the macroeconomy remarks by mr william c dudley, president and chief executive officer of the federal reserve bank of new york, at the economic press briefing, federal reserve bank of new york, new york city, 4 november 2015. * * * aysegul sahin and joseph tracy assisted in preparing these remarks. good afternoon and welcome once again to the federal reserve bank of new york ’ s economic press briefing. i am pleased to have this opportunity to speak with you. today i want to focus on how economic outcomes often differ substantially across different segments of the population. as always, what i have to say reflects my own views and not necessarily those of the federal open market committee ( fomc ) or the federal reserve system. the federal reserve has a dual mandate of maximum employment and price stability. while these mandates are expressed at an aggregate national level, it is important for policymakers to understand how they impact different groups of individuals across the country. consequently, in addition to monitoring macroeconomic conditions closely on a day - to - day basis, economists at the new york fed have been doing a substantial amount of work to understand how economic experiences differ across individuals and regions. as highlighted by the nobel prize committee ’ s recent recognition of professor angus deaton ’ s work, analyzing individual outcomes is vital to fully understanding the workings of the macroeconomy. with that in mind, i want to talk about two important areas that impact household well - being : labor income and housing opportunities. let me start with labor income, which for most households is the dominant source of household income. as one would expect, differences in labor income across individuals of a given age tend to increase as people get older. some of this is due to education and occupation choices – and how they impact income growth ― and some is due to various events that individuals face in their working lives. unemployment risk is an example of an adverse development that can substantially affect people ’ s careers and labor income during their lifetime. over the period from 1976 to 2015, the overall unemployment rate averaged around 6. 5 percent, but unemployment varied substantially across regions and across worker backgrounds. unemployment was especially high for workers with lower earnings, a group that tends to have little savings to draw upon. looking across demographic groups, younger workers, less - educated workers and those in manual occupations, as well as workers who identify as black or hispanic, experienced significantly higher average unemployment rates when compared to older and college - educated workers.