I believe this seminar could make an important contribution to promoting internal reform, in particular the internal control and risk management of the commercial banks. I will focus my speech on one important aspect of risk management, which deals with Basle Capital Accord II and the regional disparities in financial risks across China.
The NAIRU never was measured with precision; statistical inference has always provided a distribution of likely values around a point estimate. And several factors, for instance the demographic composition of the labor force, have long been known to introduce systematic variation in its value over time.