If the company is unable to raise its productivity, new competitors will pose the threat of driving it out of the market. But on the other hand, raising productivity requires investment, organisational change, restructuring of processes, training of personnel, and a broad-based commitment. How can this be made to work?
At the same time there are elements in society who believe that we are too independent and that the goals of monetary policy should be changed. In my talk this evening, I will state the Bank’s perspective on these issues and then briefly review our monetary policy actions over the past year.