![\"wef](\"https:\/\/bravenewcoin.com\/wp-content\/uploads\/2023\/11\/ResizedImage600281-wef-quote.png\")
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The World Economic Forum (WEF) is a Swiss<\/a> nonprofit<\/a> foundation<\/a>, described in its Mission Statement as, \u201can International Institution committed to improving the state of the world through public-private cooperation.\u201d<\/p>\n The WEF is funded by a membership comprising 1,000 of the world\u2019s top corporations, global enterprises usually with more than US$ 5 billion in turnover,<\/p>\n \u201cThe Forum\u2019s Members are at the heart of all our activities.\u201d The forum is best known for its invite only winter meeting in Davos<\/a>, a mountain resort in Switzerland. The meeting brings together some 2,500 top business leaders, international political leaders, and selected intellectuals.<\/p>\n The event hosts a raft of influential figures; French President Fran\u00e7ois Hollande, Chinese Premier Li Keqiang, German Chancellor Angela Merkel, and Italian Prime Minister Matteo Renzi are some of the 40 heads of state and government representatives in attendance. Other notable political figures attended, including former U.S. Vice President Al Gore, World Bank President Jim Yong Kim, U.S. Secretary of State John Kerry<\/a>, and U.S. Treasury Secretary Jack Lew<\/a><\/p>\n This year\u2019s panel for the discussion on the global economic outlook comprised of: Joaquim Levy – Finance Minister of Brazil. Haruhiko\u00a0Kuroda – Governor of the Bank of Japan. Beno\u00eet C\u0153ur\u00e9 – ECB\u00a0board member. Mark Carney – Governor of the Bank of England. Min Zhu – Deputy Managing Director of the\u00a0International Monetary Fund. And an assuming host who neglects to introduce himself.<\/p>\n The congregation occurred earlier this week, closely following the announcement by the European Central Bank (ECB) of a \u20ac1.1 Trillion Euro quantitative easing package (QE).<\/p>\n Beno\u00eet C\u0153ur\u00e9 commanded particular celebrity in the panel, and was congratulated by his peers on the recent decision to increase the Eurozone\u2019s monetary base by a substantial amount. The ECB will use the newly created Euros for the purchase of government debt and other financial instruments, with the aim of capitalising and stabilising the banking sector and maintaining low interest rates across the board.<\/p>\n This policy lowers the cost of finance for debtors; from governments and banks to mortgage holders and credit card users. It also lowers the interest rate that savers receive for holding their money in a bank, and reduces the exchange rate and purchasing power of the Euro.<\/p>\n C\u0153ur\u00e9 claimed to have learned from the policies of Mark Carney at the BoE, and Haruhiko Kuroda at the BoJ and the US Fed, while acknowledging that the Eurozone faces its own particular challenges because of its unique institutional structure and the contrasts of interests throughout the monetary union. \u201cWe have one single monetary policy for 19 governments\u201d, he comments.<\/p>\n With the backdrop of many prominent European economies struggling with low growth, and high unemployment, Mr C\u0153ur\u00e9 said, \u201cIt became pretty clear we had to do something, given the weakening inflation prospects.\u201d He continued, \u201cIn the last days the only discussions were on how to do it\u201d.<\/p>\n When asked, \u201cWas currency a component of the deliberation? And, was there a view where currency would ultimately go, then?\u201d Mr C\u0153ur\u00e9 responded, \u201cThe Currency? It\u2019s part of the channels. It\u2019s probably not the most important channel. We don\u2019t have targets as you know very well. We don\u2019t have numbers. The currency adjusts\u2026 as a result of monetary policy decisions. \u00a0So it\u2019s part of the transmission. It\u2019s not the main consideration\u201d.<\/p>\n The panel host adds some remarkable balance to the debate, adding;<\/p>\n \u201cThere are some people who believe that QE creates more social issues in society because there are big winners and big losers. Those who have capital in financial assets\u2026 and those who don\u2019t.\u201d<\/p>\n<\/blockquote>\n Considering this C\u0153ur\u00e9 responds \u201cThat\u2019s a very deep question. We know that large scale asset purchases entail risks \u2026 if we make labour markets work better, in compliment to large scale asset purchases, then you can have the best of both worlds!\u201d<\/p>\n Having declared earlier in the discussion that: \u201cThere is nothing we can do as ECB, as central bank, that can lift the growth rate of Europe in a lasting way\u201d, it seems that C\u0153ur\u00e9 and the European Central Bank are committed to redistributing money towards governments and banks, and causing inflation, in spite of the fact that they are powerless to improve labour markets and produce lasting economic growth.<\/p>\n When the topic of conversation lands on technological development, toward the end of the panel, discussion moves to \u201cdisruptive technology\u201d in the financial sector.<\/p>\n \u201cThis is going to be disruptive in so many places and it\u2019s going to be those countries that adapt to technology, are going to be the big winners\u2026 and those who can\u2019t adapt, in my mind, are going to fall further… How do you think about that in monetary policy..?\u201d ~ Host<\/p>\n \u201cIn terms of financial stability policy and the change in banking that is imminent, we have to get the balance of regulation right. Not come down too hard and prevent this type of disruptive technology, but also not be in a position where we\u2019re filling in prudential regulation after the fact, and have a difficulty\u2026 facing an Uber-like situation in financial services.\u201d \u201cWe need monetary policy to provide confidence. And Apart from what mark said, it\u2019s pretty obvious that the technology is reshaping the financial industry\u2026 it reshapes payment systems which are essential for monetary policy, which are really the nuts and bolts of what we are doing. So we are following very closely virtual currencies, for instance we are following very closely the cyber resilience of financial infrastructures.\u201d ~ Beno\u00eet C\u0153ur\u00e9<\/p>\n \u201cAs far as the financial sector is concerned and also the central bank as the host of payment and settlement systems, digital technology is quite vital and quite important. Decisive factor, I agree\u2026 As a central banker, we tend to focus primarily on digital technology: payment and settlement systems, the financial sector, the financial market. But I think we should broaden our view, our way of thinking, towards greater areas of new technology.\u201d ~ Haruhiko\u00a0Kuroda<\/p>\n \u201cI think technology will have a disruptive impact on the emerging markets as well. I think it\u2019s a huge challenge, but it\u2019s a huge opportunity. Net to net, I think its good news\u2026 But technology actually imposes a huge question on global governance issues. It\u2019s not all clear whether it\u2019s to enhance global governance or it\u2019s on the other way around. It\u2019s not clear.\u201d ~ Min Zhu<\/p>\n","protected":false},"excerpt":{"rendered":" The World Economic Forum invites 2,500 top business leaders, international political leaders, and selected intellectuals. This year, there was a discussion on digital technology and virtual currency.<\/p>\n","protected":false},"author":1238,"featured_media":23655,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[3081,568,1687],"_links":{"self":[{"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/posts\/23654"}],"collection":[{"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/users\/1238"}],"replies":[{"embeddable":true,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/comments?post=23654"}],"version-history":[{"count":1,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/posts\/23654\/revisions"}],"predecessor-version":[{"id":41365,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/posts\/23654\/revisions\/41365"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/media\/23655"}],"wp:attachment":[{"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/media?parent=23654"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/categories?post=23654"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bravenewcoin.com\/wp-json\/wp\/v2\/tags?post=23654"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
\n— – WEF<\/p>\n<\/blockquote>\n\n
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\n— ~ Mark Carney<\/p>\n<\/blockquote>\n