Under this approach, many would take steps to strengthen or provide more inherent resiliency to those areas that have suffered the most from recent market breakdowns, which would reflect the positive side of market discipline. What course we choose is of critical importance to the future role of central banks and to their ability to maintain independence in formulating policy.
Some proponents of reform - not all - argue that there is a need to focus more on growth, as if there was a contradiction between fiscal soundness and growth and job creation. On the contrary, economic theory and empirical observations support the idea that wise fiscal policies are fostering sustainable growth and job creation.