If we had left those pressures unchecked, we would have put at risk some of the hard-won gains that had been achieved over the preceding decade and a half. So, starting from a real federal funds rate that was close to zero, a preemptive tightening was initiated.
The enlargement of distribution networks has proved a strong incentive to decentralizing decision-making for smaller loans. To meet the requirements of control, special organizational units have been created to provide centralized monitoring of loan positions; these maintain continuous contact with the central and branch units engaged in granting loans, mostly through the use of computerized procedures that identify possible anomalies in positions.