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In 2007, the chairman of the Federal Reserve, Ben Bernanke, spent most of the year assuring markets that the U.S. sub-prime mortgage loan problem would be contained.
Mr. Weber's statement was aimed at assuring markets that no more surprises along the lines of IKB were in the offing, since markets feared German lenders might be hiding greater losses.
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The rebates are tied to assuring market share for those products.
Liquidity provision by the central bank reduces systemic risk by assuring market participants that, should short-term investors begin to lose confidence, financial institutions will be able to meet the resulting demands for cash without resorting to potentially destabilizing fire sales of assets.
As in all negotiations, compromises had to be found in certain areas but the results are a balanced package assuring market access while preserving specific sensitivities.
GLOOMY talk and stern warnings can help assure markets that a government is taking its fiscal duties seriously.
The scheme also sees it provide technical assistance to material recovery facilities, as well as help to develop assured markets for aseptic fibre.
Most important, it can try to manage expectations and assure markets that it will do whatever it takes to avoid prolonged deflation.
So far the EU has only deployed the minimum collective response necessary for the euro's survival: conditional emergency loans to troubled countries, conditional bond-buying by the European Central Bank, tougher economic policy co-ordination, and tighter restrictions on governments' debts to assure markets of countries' responsibility.
The Franco-Belgian financial services group Dexia said it would provide a $5.0 billion credit line to its American bond insurance subsidiary, FSA, to assure markets and ratings agencies that its credit is good.
The Bank of England sought Wednesday to assure markets and businesses it won't raise its key interest rate any time soon despite a faster-than-expected decline in Britain's jobless rate.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com