Therefore, even if lending standards are somewhat tighter than before and risk premia and the cost of capital increase by a modest amount, their impact on economic activity can be expected to be moderate. More generally, looking ahead over the policy-relevant medium-term horizon, we should assess the likely effects of all relevant factors – economic, financial and monetary – on the European economy’s prospects.
BIS central bankers’ speeches  5  Again, congratulations to all the winners of the awards. Thank you. References International Monetary Fund (2013). Asia and Pacific. Shifting risks, new foundations for growth. Regional Economic Outlook, April. Jankowska, A, A Nagengast and J Ramon Perea (2012). The product space and the middleincome trap: comparing Asian and Latin American experiences. OECD Development Centre, Working Paper No.311.