Borrowing Quote by Urjit Patel
“A well-functioning transmission should at some point go from the overnight right up to 40 years, and that is the ultimate objective in having monetary transmission that affects the whole gamut of borrowing tenure.”
About This Quote
A stable financial system should function effectively over many decades, ensuring long‑term borrowing options.
In simple terms: Monetary transmission must work for decades.
Key Takeaway
Aim for durable financial stability.
Themes
economics
finance
stability
Mood
analytical
concerned
Type
economic
technical
When to use this quote
- government bonds
- mortgage markets
- corporate finance
Key Concepts
monetary policy
long‑term lending
Questions to Reflect On
- How can we maintain flexibility over 40 years?
- What safeguards protect against systemic drift?
A Different Perspective
Long horizons increase uncertainty and policy rigidity.
![“When the fountains of government [borrowing] abundance began to dry up, when through lack of funds and the impossibility of negotiating fresh loans the state was forced to check the extension of bureaucracy and to put a stop to public works, then and then only did the Italians realize what it…” quote by John T. Flynn](https://sms4smile.com/quotes/img-quotes/908/john-t-flynn-18493_abundance_when-the-fountains-of-government-borrowi_2663.jpg)
