15 The last obstacle to innovation I’ll mention is aversion to risk, which is common among central bankers. This is understandable, given our responsibility as economic stewards. There are no take-backs and writedowns in central banking. That said, we can’t escape the fact that innovation entails risks. A company that creates iPads and iPhones will occasionally produce a Newton.
Mark Zuckerberg had it right when he said, “In a world that’s changing really quickly, the only strategy that is guaranteed to fail is not taking risks.” 16 We have to find a way to embrace risks and the occasional failure that comes with risk without jeopardizing our mission. This is why we’re fostering a culture of informed risk taking.