Ideally, such a joint effort will enhance our knowledge about common challenges as well as develop a beneficial, mutual insight into issues on which we take a more idiosyncratic course. I am therefore very pleased that the Deutsche Bundesbank and the Federal Reserve Bank of Cleveland have been able to organise this joint conference on research issues related to monetary policy strategy and communication.
If we choose to double back, then we must also direct more supervisory focus to the market interdependencies among commercial banks, and we must institute better mechanisms to unwind failing nonbank financial institutions and their counterparty exposures.