In the 1970s and 1980s, many researchers, such as our three honorees, were doing work directly applicable to policy. But others had few day-to-day responsibilities and were fairly free to concentrate on long-run research projects, some of which appeared to have only tenuous connection to the work of the Board.
4  BIS central bankers’ speeches  These types of temporary surges in risk aversion can be very costly for society. At least in principle they can be ameliorated if there is an entity that has a stable risk appetite and that is prepared, and financially able, to play a stabilising role.