Were we fully confident of how the structure would evolve, we could presumably construct today the regulations which would foster that evolution. But we cannot be certain. We thus run the risk of locking in a set of inappropriate regulations that could adversely alter the development of market structures.
Also, to minimize the impact of the new capital rules on credit availability while the global economy is still recovering, we and our international colleagues have agreed to allow long transition periods for the implementation of the new standards.