and the press, for the freedom of religion and labour, and for the freedom of trade and industry. democracy, equality and respect for human rights were, for him, the only way towards progress and the pursuit of happiness for the entire society. that was ten years before patrick henry and the declaration of independence of the thirteen colonies. those enlightenment values, which still underpin our economic and political models on both sides of the atlantic, are now being challenged both politically and socially, from inside and outside. politically, a populist and nationalist agenda appears tempting to many people. socially, the values of tolerance, liberalism and inclusion are increasingly under threat. to my mind, it is a common challenge for both of us, as americans and europeans, to defend the values of liberty and democracy, and the rule of law and rules - based world order. on this side of the pond, we realize the urgency of this effort, especially now as the role of europe as the standard - bearer for liberal democracy has become even more crucial. as the international system is built not only on rules and institutions, but also on trust and confidence, current policy uncertainty and the erosion of international cooperation are damaging to everyone. we need bolder joint efforts to steer the global economy towards a more sustainable future. in europe we want to keep the flame of global multilateralism alive. i hope our american friends will rejoin us and stay on board. many thanks for your attention, and enjoy the evening and stockholm. anticipating the wealth of nations : the selected works of anders chydenius ( 1729 – 1803 ) : edited by maren jonasson and pertti hyttinen with an introduction by lars magnusson, routledge studies in the history of economics, 2012. the federal reserve board has coined three questions : 1. “ can the federal reserve best meet its statutory objectives with its existing monetary policy strategy, or should it consider strategies that aim to reverse past misses of the inflation objective? " ; 2. “ are the existing monetary policy tools adequate to achieve and maintain maximum employment and price stability, or should the toolkit be expanded?, and 3. “ how can the fomc ’ s communication of its policy framework and implementation be improved? ". 4 / 4 bis central bankers'speeches

been made to the united states and the question has been asked as to why europe us unable to effect as strong expansionary measures. many reasons exist that make comparisons with the united states infeasible. firstly, the expansion of the us public deficit is largely due to an increase in military expenses, which can hardly be regarded as counter - cyclical expansionary economic policy. furthermore, there was, and still is, substantially more genuine room for manoeuvre in the us economy in this respect. contrary to the euro area, us public finances were clearly in surplus when the country entered into recession. for demographic reasons alone the outlook for us public finances clearly outweighs that for the euro area. furthermore, the tax rate is markedly lower in the us in comparison to the euro area, which also gives the united states substantially latitude in taxation. finnish economy if the expected recovery of the world economy begins, the finnish economy will, without doubt, follow suit. however, forecasts suggest that the growth rate would only return to a 2 – 3 % level. one trend in which finland has taken the lead in international comparisons is population ageing. the problem of ageing is not exclusive to finland, but it has started to manifest itself here exceptionally early. in effect, the increase in labour growth in finland has virtually come to a halt and is expected to make a downwards turn in the near future. this will inevitably be reflected in all sectors of the finnish economic policy decision - making. in the next few decades, population ageing will pressure finland into increasing spending on its public sector, amounting altogether to some 6 % of the gdp. the funds accumulated in the pension scheme cover only one third of these upward pressures. can the remainder be met with increases in taxation? i doubt it. in fact, there is increased pressure to reduce taxes further in the future. another easily distinguishable future trend is tightening competition over the location of companies. finnish companies are increasingly a part of a global business world with operations in finland. in such a world the relocation of operations to places where costs can be kept to a minimum becomes the norm. a small, expensive, rapidly ageing and remote country is hardly in the best possible position when an international company is contemplating where to locate operations. labour mobility is gradually changing from a theoretical possibility into a reality that shapes economic policy. what kind of prospects does finland have for succeeding in international competition? political stability and security, a reliable legal system, a still solid infrastructure