For market discipline to constrain risk effectively, financial institutions must be allowed to fail. Under optimal financial regulatory and financial system infrastructures, such a failure would not threaten the overall system.

The worst is likely to be behind us.

It is the policy of the federal government to use all resources at its disposal to make our financial system stronger.

I think all governments engage in intelligence gathering vis-a-vis other governments.

I didn't get the charm gene.

I have great, great confidence in our capital markets and in our financial institutions. Our financial institutions, banks and investment banks, are strong. Our capital markets are resilient. They're efficient. They're flexible.

The U.S. didn't save enough; we borrowed a lot. There were structural imbalances in Asia with exporters, with oil exporters for a whole variety of things.