In these remarks, I'd like to address two important issues from that perspective: the need for flexibility in adjusting to economic change, and the need for economic policies that promote flexibility in markets for goods, services, capital, and labour. Economic flexibility refers to the ability of an economy to adjust to changing circumstances.
Changes in economic conditions often relate to movements in relative prices, which in turn send important signals to markets. A flexible economy is one that adjusts to these signals and returns to its production potential as quickly, and with as little cost, as possible.