Once banks seeking to innovate have navigated the selection process and identified a partner, they now face a complicated due-diligence process. I believe that regulators and supervisors have a role in easing the burden of that process for community banks in several respects. First, we could help by implementing clear third-party guidance that is consistent across all regulatory agencies.
The New Framework and Maximum Employment Regarding our maximum-employment mandate—a sixth element—an important evolution in our new framework is that the Committee now defines maximum employment as the highest level of employment that does not generate sustained pressures that put the price-stability mandate at risk.