The proposal would not permit any banking organization in this country to operate under the Standardized or Foundation IRB approaches of Basel II. We will be working with the AIG at Basel to minimize any issues that may arise because of different capital regimes for the consolidated operations of foreign banks and the choices available to their subsidiaries in the United States.
4  -6some nominal price or wage stickiness in the economy. The short-run Phillips curve assumes a given level of inflation expectations. If inflation expectations increase, the short-run Phillips curve shifts up. So, if inflation expectations have increased in recent history, we would move from a lower to a higher Phillips curve, as shown by the vertical shift up in the dots.