In a similarly flexible world economy, as debt projections rise, product and equity prices, interest rates, and exchange rates could change, presumably to reestablish global balance.
This framework would help to ensure that the responsibility for policy formulation and implementation was clear and borne appropriately by the members of the Board and the Managing Director, respectively. Toward this end, Bank of England Governor Mervyn King has recently suggested establishing a non-resident Executive Board that meets periodically, rather than almost continuously, and that focuses on strategic direction and oversight.