Vice versa, a broad macro level understanding of trends can be effective in instituting prudential safeguards at the micro institutional level. 23. Admittedly, there are strong arguments to the contrary, in support of keeping bank regulation and supervision away from central banks. By far the most persuasive argument stems from the moral hazard perspective.
I bid you all a very warm welcome to the 2012 Bank of Korea International Conference. In particular, I would like to express my gratitude to Professors Thomas Sargent, Barry Eichengreen, and Yung Chul Park, Dr. Jonathan Ostry, and all of our speakers and participants for their invaluable contributions to this conference. My special thanks go as well to the IMF, our conference co-host.