A tale of two workers So which of the twin-peaked outcomes facing the economy is most likely? An imminent burst of macro-economic sunshine? Or leaden-grey skies as far as the eye can see? Several factors have been put forward to support the secular stagnation hypothesis. They include rising levels of inequality, worsening levels of educational attainment, a rising debt overhang, lower prices for investment goods, rising levels of youth unemployment and lower levels of innovation (Gordon (2012), VoxEU (2014)). None should be dismissed lightly. But nor do these factors necessarily contradict the possibility of recovery in at least some parts of the economy. It is entirely possible that both poles may be in play – if you like, sunshine with showers – pulling the economy in opposing directions. Those polarising forces are well illustrated by developments in the labour market. Polarisation in the labour market has been a phenomenon since at least the 1980s, with a “hollowing out” of employment across the skill-distribution (Goos and Manning (2007) Goos et al (2009), Autor et al (2003, 2006, 2010), Sissons (2011), McIntosh (2013), Plunkett and Pessoa (2013)). Employment growth has been strongest among the highest and lowestskilled. But the casualty has been the mid-skilled, where employment has fallen. This structural shift is usually attributed to technological displacement of mid-skill jobs – for example, because of the automation and digitisation of certain tasks. For that reason, a “smiley face” employment pattern has been found across a wide number of countries when looked at in skills space.
Abdul Rasheed Ghaffour: Roundtable Meeting of Centralised Shariah Advisory Authorities in Islamic Finance Welcoming remarks by Mr Abdul Rasheed Ghaffour, Deputy Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the Roundtable Meeting of Centralised Shariah Advisory Authorities in Islamic Finance, Kuala Lumpur, 2 October 2018. * * * It is an honour for me to be here today at the inaugural Roundtable Meeting of Centralised Shariah Advisory Authorities in Islamic Finance. On behalf of Bank Negara Malaysia, I would like to welcome the esteemed Shariah scholars and delegates who are gathered here this morning to share their experiences and exchange perspectives. We are at a time where our economies and financial systems are more connected. We are seeing greater cross-border trade and services, and mobility in capital. Technological advancements are shaping the way businesses operate and influencing dynamism in customer behaviours. This gathering today therefore is an important first step – towards strengthening relations and connectivity among the scholars and regulators who share common goals – that Shariah principles are embraced not only in form but more importantly in substance, – and that Islamic finance consistently delivers positive impact to the broader economy and society. The global Islamic finance industry has seen remarkable progress over the last decade. Global Islamic banking assets have doubled over the last 10 years and Islamic financial services are now available in more than 48 countries.