That level, of  BIS Review 88/2001  3  course, can be known only in retrospect. One measure of the probability that the current or prospective level of reserves will be adequate can be gleaned from the yield spread of dollardenominated government debt over U.S. Treasuries.
Market functioning and credit and capital availability improved markedly after the Federal Reserve’s detailed, cross-firm comparisons were made public. This is no coincidence. 4  More understandable, frequent disclosures could also foster development of contingent capital securities.