Moral Suasion


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Moral Suasion

Statements or acts by a regulatory authority to encourage, rather than coerce, compliance with accepted standards. For instance, given a non-compliant thrift, the Office of Thrift Supervision may increase the number of inspections, privately tell executives what needs to be done, and use other persuasive tactics to change the thrift's behavior, rather than simply reporting the violations and fining it accordingly. The idea behind moral suasion is that sometimes the threat of punishment changes behavior just as well and with less embarrassment than punishment itself. The term is often applied to the Federal Reserve Board's statements in which it makes vague threats of certain actions (such as raising interest rates) in an attempt to change market actors' behavior. Moral suasion is known less formally as jawboning.
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Delany's faith in moral suasion thrust practical education to the center stage of his philosophy of education.
An important summary of Tiemstra's views on these matters can be found in the last section (Possibilities for Responsible Global Capitalism) of the last chapter ("The Social Economics of Globalization") in which he stresses the following policy and institutional recommendations: (1) limiting the globalization of financial markets; (2) international agreements on labor, the environment, and diversity; and (3) moral suasion.
Moral suasion refers to a policy in which the government or the Central bank uses persuasion rather than regulatory force to convince financial sector participants to take a particular action.
Generally our gold is only moral suasion, very seldom we forcibly take away the gold and realise the gold.
Second, by acting as a cheerleader for things like credit default swaps and collateralized debt obligations, the Fed creates a moral suasion problem of directly encouraging the use of these things amongst inexperienced participants.
3) Indirectly inducing (via moral suasion in our view) the two largest public banks and Commercial International Bank (CIB) to raise long-term deposit rates by 50-100 bps
Churches and their councils are voluntary organizations, and church leadership is based upon moral suasion, which lacks enforcement measures.
Moral suasion proved to be useless, because everyone was already convinced of the moral rightness of the cause.
However, Palmer says that "backed by the G-20, it exercises powerful moral suasion and has shown that it can exercise significant influence over the standard setters, such as the Basel Committee, which has been the vehicle for strengthening banking capital standards.
So my comments are restricted to how these proposals are offensive when examined against the moral suasion of various articles of the United Nations Convention on the Rights of the Child.
It begins as analysis and ends as a work of moral suasion, an eloquent statement of enthusiasm that means to convert its readers to a larger cause than the author can specify.
43) Through the power of moral suasion, Christians would convince slaveholders of their sins, and together, northern and southern Christians would bring about a peaceful, gradual end to slavery.