I will explain today why the Committee’s consensus view is that this gradual process of normalization remains appropriate. As always, there are risk factors abroad and at home  1  See Greenspan (2003), p. 1. -2that, in time, could demand a different policy response, but today I will step back from these.
In my view, that is an important thing to know about the inner nature of capital markets, but it is certainly not all there is to know. My short intervention today will therefore address a different question: what can capital markets deliver? Given the current discussions about a European capital markets union, it seems that we expect quite a lot from capital markets.