In the cases of the 1987 stock market crash and the 1998 implosion of Long Term Capital Management, the damage was contained by quick emergency actions initiated by the Federal Reserve. By 2007, unfortunately, the now familiar perils of poorly underwritten assetbacked securities, liquidity strategies based on asset prices, and high leverage had pervaded the financial system.
Until then, the bank had been subordinated to the Imperial Senate of Finland. The system in which the central bank belongs to the parliament was adopted following the Swedish example and has lasted to this day. Most European countries moved to the gold standard in the 1870s, and Finland followed suit in 1878.