And here again, although in this special period spreads are expected to increase, it is important to maintain a sense of proportion and not act excessively. To put it another way, I repeat what I said to you in previous years, "Good bankers can make good loans in bad times," and I have every confidence that in this hall we have good bankers.
This greater ability to pare costs, increase production flexibility, and expand capacity are arguably the major reasons why inflationary pressures have been held in check in recent years. Others have  BIS Review 85/1999  2  included the one-time fall in the prices of oil, other commodities, and imports more generally.