Customer Quote by Charles L. Evans
“When capital comes into our own countries, it ought to be for, you know, a longer-term investment. If it's extremely short, hot money, we ought to treat it in that way and have type of regulatory policy.”
About This Quote
Source Speech: Monetary Policy Remarks, Federal Reserve, 2020
Foreign capital should be evaluated by its duration; short‑term “hot money” needs stricter regulation than long‑term investment.
In simple terms: Treat short‑term capital differently from long‑term.
Regulate speculative short‑term flows.
Themes
Mood
Type
When to use this quote
- government policy
- investment strategy
- market analysis
Key Concepts
Questions to Reflect On
- How can regulators balance stability and market efficiency?
- What criteria define “hot money”?
Regulation may deter beneficial short‑term liquidity.