The experience of the stagflation of the 1970s and the rational expectations revolution in macroeconomic theory led to attention being focused once again on a long forgotten principle, namely the concept of the long-run neutrality of money, the insight that monetary policy measures will, in the long run, influence only the level of prices, leaving growth and employment levels unchanged.
In other words, we are in the business of monitoring "downside risk" to the financial system, so we must act appropriately when we see possibly excessive risk-taking or inappropriate risk management, controls, or capital. While most U.S. banks today operate in a safe and sound manner, we must always be vigilant of future problems.