It is my pleasure to participate in this distinguished conference. I look forward to a fruitful and stimulating discussion with both my fellow panel members and the audience.
The federal safety net for depository institutions – by which I mean deposit insurance, access to the Federal Reserve's discount window and payment system guarantees, and the implicit certification of soundness that counterparties believe accompanies federal supervision and regulation – has been a potent force for ensuring the stability of the U.S. banking and financial system. We should preserve these benefits.