1) Macro-financial dynamics of change There are two key macro-financial dynamics driving business model transformation in the banking sector across the euro area: firstly, there is a cyclical aspect driving change affecting business model development; and secondly, structural factors, such as the state and make-up of the market, are also relevant drivers of change.
Both parents and monetary policy makers understand the need to be consistent if credibility is to be maintained. We’ve learned that the hard way. The same rules of life apply to fiscal policy. Credibility suffers if you do not do what you promised to do. Moreover, if these rules are not adhered to, problems could also develop in other areas of common European policy.