Greenspan on Int'l Financial Risk Management

SPEECH - In the speech 'International Financial Risk Management' Alan Greenspan of the Federal Reserve said episodes such as September 11 indicate that the ability of economies to absorb unexpected shocks has increased over the past two decades. He also suggested that if central banks were to insulate private institutions from large potential losses increased laxity could threaten a major drain on taxpayers or excess creation of money by the central bank.

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