Countercyclical policies did stabilize the economy and prevent another large-scale depression, but more intensive recourse to these measures would not produce additional welfare gains; such gains can be attained by supply-side policies. In the classical tradition, Lucas stresses incomplete markets and the existence of rigidities and frictions that impede adjustment.
We look forward to further developments with respect to BRICS, and the hosting of the fifth BRICS Summit in March next year provides South Africa with an opportunity to give strategic and directional input into various BRICS initiatives. 3. The importance of financial market infrastructure  I will now turn to the topic of this forum, being the importance of financial market infrastructures.