Overall, central banks do not have the mandate or the tools to deal with societal concerns around excess income or wealth inequality.29 Governments are best placed to address the concerns in their societies around these developments.
But we do need to ensure that while we take our decisions with a clear goal in mind, we also understand the side effects of our actions and that they do not outweigh the benefits. Conclusion There are three things I suggest we should bear in mind. First, central banks need trust to succeed. Trust is stronger where social capital is strong.