Jean-Claude Trichet, president of the European Central Bank, is encouraging policymakers who are overhauling the financial system to make sure they create a level playing field to prevent crises. "Regulatory arbitrage across countries and across continents would be a recipe for catastrophe," he said. Trichet also said the ECB's priorities have not been changed by the global financial crisis. "We will ensure that inflation expectations remain impervious to short-term changes in inflation, even in the face of sharply falling inflation," he said.
Published in Brief: