Think of Sicard, whose invention clearly brought huge long-term benefits but also led to job losses, especially the jobs of workers who cleared roads using horsedrawn snowplows. As such, a strong and dynamic economy should be driven, in part, by the entry of new firms and the exit of less-viable firms. 2 This renewal involves a needed reallocation of labour toward growing industries.
Complex to define, financial stability is not only of the essence in avoiding financial crises but also in paving the way for the best financial environment in normal times. It is a condition where the financial system is capable of performing well in normal times all of its normal tasks and where it is expected to do so for the foreseeable future.