april 2016, bernanke has argued that : under certain extreme circumstances – [ such as ] sharply deficient aggregate demand, exhausted monetary policy, and unwillingness of [ fiscal authorities ] to use debt - financed fiscal policies – [ money - financed fiscal programs, colloquially known as helicopter drops ] may be the best available alternative ” and that “ it would be premature to rule them out ”. earlier in this vein, in 2003, bernanke had recommended that japan fight deflation through an expansionary fiscal policy financed by permanent purchases of government debt by the central bank. the permanency of central bank purchases of public debt rules out that the new debt will ever be placed on the market, thereby eliminating ricardian equivalence effects and preventing new public debt accumulation. however, an essential aspect of money - financed fiscal programs is that it involves revocation or suspension of central bank independence. precisely for this reason and because governance of money - financed fiscal programs is inherently difficult ( since it creates perverse incentives for legislators to facilitate tax cuts or spending when such actions no longer make macroeconomic sense ), this option is not something that central banks in general are discussing or even considering. in the euro area, the principle of central bank independence is one of the cornerstones of the economic policy constitution enshrined in the maastricht treaty. a fundamental expectation is that monetary - fiscal policy coordination will be achieved with different institutions acting independently within their mandates. to preserve this framework, the focus should be on improving the governance structure so as to ensure that the euro area does not gradually slide into a regime of fiscal dominance. within the constraint of its given mandate, the ecb has moved towards improving the policy mix through the expansion of its balance sheet aimed at stimulating economic activity. it is my sincere hope that the seminar will provide a useful springboard for moving forward with bolder policy actions and reforms that will help put the eurozone on a path of strong sustained growth and price stability. bis central bankers ’ speeches

public policy concerns the openness of markets. one lesson not to be drawn from the global financial crisis is to impose controls on the movement of goods, services, capital, and labour. protectionism and controls are detrimental to everyone. as a trading nation, we understand that. the focus must be on opening markets and removing barriers to trade and capital flows so that all can participate in the changing global landscape. this focus is equally important for our internal markets. a renewed push is needed to remove barriers to internal trade in canada. the goal is to have the most efficient allocation of resources possible to enable us to capitalize on the opportunities of a new global economic order. let me conclude this section with a few additional thoughts on what this changing global landscape means for the major emerging - market countries. these countries have achieved considerable successes in recent years. they responded in a forceful and timely manner to the financial crisis, and they have been the strongest - growing regions in the global economy. building on these successes, these countries should have the confidence to allow market parameters to play a more active role in their economies. doing so would include greater exchange rate flexibility to allow relative price signals to contribute to rebalancing and sustaining global economic growth, thus strengthening the global trading and international monetary systems. indeed, another thrust of the g - 20 process is mutual recognition of the need for a collaborative effort with regard to policy actions on those fronts i have just been discussing – financial, fiscal, openness of markets, and exchange rate – to the benefit of all. let me turn now to the private sector in canada, and discuss some of the implications of the changing economic landscape for business here at home. implications for canadian business what will the new global landscape mean for canadian business? i said earlier that, going forward, private sector demand must replace public support as the engine that drives sustained economic growth. this transition implies change for business, but, most importantly, beyond the transition, the new international economic order will bring many opportunities. to take full advantage of them, business will need an appetite for change. significant restructuring is already occurring in many sectors. the forest products sector continues to go through a difficult adjustment. in ontario, we are all well aware of the see “ the state of public finances cross - country fiscal monitor : november 2009 ”. imf staff position note, 3 november 2009, spn / 09 / 25, pp 13 – 15. challenges facing the automotive sector. more generally, canada ’ s export