II. The institutional and policy framework for Economic and Monetary Union in Europe  Friends from outside Europe occasionally raise – understandably, I would say – rather fundamental questions concerning the construction of European monetary union. Is a single currency for 13 – soon to become 15 – otherwise sovereign countries really a viable construction?
The modified regime should counteract the risks posed to U.S. financial stability by the activities of foreign banking organizations, as manifested in the years leading up to, and through, the financial crisis. Special attention must be paid to the risk of runs associated with significant reliance on short-term funding. In addition, the regime should reduce the difficulties in resolution of cross-border firms.