8 International banking is a very different enterprise than two centuries ago, but it still “best deserves the attention of a statesman.” Cross-border finance is an essential part of the international economic infrastructure. It is a conduit to direct financial resources to their most efficient use, regardless of national borders.
Similarly, in risk surveillance, we will gather an array of data on risk spreads, credit flows and volumes, asset prices, debt and leverage, markets, and institutions, including detailed, often proprietary, microdata on balance sheets and data from such markets as those for over-the-counter derivatives and repos.