to fostering external collaboration. when it comes to research, i think it is important to be humble and open - minded about the various methods from which policy makers can learn. the tools available to economists and policymakers are constantly evolving. what is considered conventional wisdom in one era may be forgotten or relearned in another, while advancements in data and computational capabilities continually expand the boundaries of what we can 1 / 2 bis - central bankers'speeches study. so whether it is through the use quantitative models, empirical analysis and case studies, new theory, the documentation of new stylized facts, or experimental methods, by bringing together diverse perspectives, we challenge our assumptions, refine our understanding, and ensure we remain responsive to the ever - changing global economy. one particularly exciting frontier in economics research is the use of data. the increasing availability of large, rich datasets, whether from statistical organizations, administrative sources or private firms, has revolutionized our ability to analyze complex economic questions. an ever increasing share of papers published in top - tier journals incorporate a reliant on such microdata. in the area of monetary policy, this has allowed researchers to explore how various types of households and firms respond to monetary policy shocks, allowing us to understand the transmission channels of monetary policy, better discipline our models, and make better policy decisions. here at the central bank, we collect a lot of data on bank lending and other areas, which has been instrumental in shaping our insights on various topics, for example how non - bank lending can affect financial stability. however, we see further potential in collaborating with other institutions to maximize the public good. by making our data more accessible to external researchers, and by integrating it with other sources, we can unlock new opportunities for research that delivers even greater societal benefits. in closing, i want to extend my heartfelt thanks to everyone who has contributed to organizing this event, as well as to all of you for attending, particularly our speakers and panelists. this workshop is an invaluable opportunity to connect economists and policymakers from diverse backgrounds, fostering both enduring friendships and new, fruitful collaborations. i wish you a productive and enjoyable conference and, for those visiting from abroad, a warm and memorable stay in dublin. i'll now hand you over to martin o'brien, who will chair our first session. 2 / 2 bis - central bankers'speeches

oil and commodity prices which have also been buffeting the economy ) and taking into account the underlying structure of the euro area economy. one question that could arise here is whether the massive injections of liquidity into the banking system come at the price of either an inappropriate monetary policy stance or a less than optimal signalling of it. in practice, this is very unlikely to be the case. indeed, since the beginning of the financial turmoil in august 2007, the ecb has repeatedly emphasised that the policy stance is defined in terms of the interest rate at which financial intermediaries can obtain liquidity, rather than by fixing the quantity of liquidity which is provided. as early as 1970, william poole's classical analysis of the instrument - choice problem taught us that using the interest rate as policy instrument is desirable when short - term uncertainty stemming from instability in the money multiplier or from money demand shocks is high relative to the uncertainty stemming from aggregate demand shocks. the provision of liquidity then becomes an endogenous variable as it is steered in order to stabilise the money market rate at its desired level. in this framework, the sometimes substantial liquidity injections by the eurosystem should be seen as simply offsetting the sudden and sharp declines in the money multiplier induced by the financial crisis. as far as our monetary policy decisions are concerned, they depend on our medium - term assessment of the risks to price stability and are based on our two - pillar strategy, which enables us to cross - check developments in the money, credit and financial markets with the signals provided by economic analysis. given existing upward inflationary pressures from oil and other commodity prices and the associated likelihood of second - round effects, euro area monetary policy was until recently faced with predominantly upward risks to price stability. however, as the financial crisis intensified further, financial conditions for the private nonfinancial sector have tightened – independently of monetary policy – and the supply of credit from financial institutions might be reduced. as a result, expectations regarding economic activity have rapidly deteriorated over the last two months and the upward inflationary pressures have eased, partly as a result of lower commodity prices but also because of the change in the outlook for domestic economic activity. therefore, the coordinated interest rate cut of 50bp last week was also the appropriate response for the euro area to the materialisation of previously identified downside risks to growth and the associated decline in the upward risks to price stability. for the near future, we will continue