A sound financial system, one that is stable, efficient, and resilient to shocks, is crucial to a well-functioning economy. While the world’s financial system is stronger than it was during the crisis, risks and vulnerabilities remain. The G20 agenda for financial and macroeconomic reform is sound and far-reaching. It provides a blueprint for building a sound foundation. But the time for action has arrived.
I find it impossible to form a preference for a policy to improve the path of economic performance without forming some opinion about what the performance would be absent any policy action. So I suppose you could say that I formulate an implicit economic forecast for every meeting.