November 03, 2003 News Archive

New List of Top Banking Risks
The list of top banking risks has been updated to reflect the results of our September 2003 analysis. Since banking conditions rarely change dramatically from quarter to quarter, most of the top risks listed here are the same as the previous quarter. However, we would like to direct your attention to two new risks. "Subprime Loan Pools" was added this time to reflect the deterioration we have seen in this segment of the consumer-loan market in the current economic climate. Also, to raise awareness of some of the implications of beginning to use 2000 census data in Community Reinvestment Act examinations during the upcoming year, we have added "Effects of New Census Data on Compliance Programs." We hope you find the listing useful in providing some insight into the current concerns of bank supervisors.

Remarks by Governor Ben S. Bernanke
Governor Bernanke discussed both the positive and the normative implications of Friedman's thoughts at the Federal Reserve Bank of Dallas Conference on the Legacy of Milton and Rose Friedman's Free to Choose. The influence of Friedman's monetary framework on contemporary monetary theory and practice can hardly be overstated.