oct. jan. apr. jul. oct. jan. united states united kingdom source : datastream and jp morgan chase & co. ( a ) equity and property indices rebased to jan. 06 = 100. euro area jan. apr. jul. oct. feb. may. - 20 aug. source : bloomberg. ( a ) 3 - month libor spreads over 3 - month overnight index swap ( ois ) rates. ( b ) solid lines show 3 month historical data, with dotted lines derived from forwards. chart 5 : sub - prime mortgage losses chart 6 : monoline cds prices ( a ) us $ billions default losses to date ( a ) projected losses ( cashflow method ) projected writedowns losses to date ( market prices ) ( b ) sources : bloomberg, banks'financial statements and bank calculations. ( a ) estimated default losses to date on subprime securities based on cumulative delinquency rates. ( b ) net of hedging. • • sources : bank of england, barclays capital, goldman sachs, imf and moodys. ( a ) average of bid and offer premia of five - year senior debt cds contracts. chart 7 : key strands of fsf work supervisory framework and oversight − capital arrangements − liquidity buffers − risk management practices − off balance sheet activities underpinnings of the originate and distribute model • uses and role of credit ratings • market transparency • supervisory and regulatory responsiveness to risks • authorities ’ ability to respond to crises

ardo hansson : working together for the good of the eu and estonia opening speech by mr ardo hansson, governor of the bank of estonia ( eesti pank ), to the ragnar nurkse lecture for the 95th anniversary of eesti pank, tallinn, 4 november 2014. * * * professor balcerowicz, president of the riigikogu, chair of the supervisory board of eesti pank, excellencies, ladies and gentlemen, thank you for being here today to mark the 95th anniversary of eesti pank and to honour ragnar nurkse, the world's best - known economist from estonia to date. eesti pank was founded when the republic of estonia was only a year old and ragnar nurkse was a model eleven - year - old pupil at the tallinn cathedral school. in the words of juhan kukk, the minister of finance of the time, founding eesti pank as the issuer of the national currency and tying the currency to gold showed the same great “ bravery and belief in national and economic independence ” as engaging in the war of independence did. ragnar nurkse started his studies in the university of tartu, but he soon moved to continue them in the school of economics of the university of edinburgh and later in vienna. he was recognised in his home country for his work, as is shown by the worried letter that juri jaakson, governor of eesti pank at the time, sent him in spring 1938. nurkse was working in geneva at the time for the league of nations, the forerunner of the united nations. the letter says : “ the rise in the cost of living in the past three years has been larger than has been seen in many other countries that compete with us in foreign markets. when the cost of living rises, so wages should also rise and consequently so too production costs, with the result that our competitiveness declines. do we not have to fear this? ” unfortunately we do not know what advice nurkse gave to jaakson, and within only a couple of years the question was no longer of any great relevance for eesti pank. during the second world war, ragnar nurkse focused in his work on inflation and exchange rates. the research that he published on these topics has led many writers to call nurkse one of the main architects of the bretton woods system. after the war nurks