ABSTRACT
This chapter combines three reports that were presented in series of high-level G20 seminars held in 2010 and 2011. It explains the Canada-Korea G20 Seminar held in Ottawa on March 17, 2010, and then explains the Canada-Korea-France G20 Seminar held in Seoul on September 17, 2010. The chapter also explains the Korea-France-Mexico G20 Seminar held in Paris on May 25, 2011. Yet it is necessary to prepare for risk scenarios. Under the current circumstances, the market want to hear about how the G-20 perceives downside risks and what the contingency plans are. For this purpose, risk factors should be identified from various perspectives, such as, how likely the risk scenario is to be triggered, how severe the impacts would be and whether the risk factors are structural or cyclical. The chapter argues that, under many uncertainties about nature of risks, it would be more productive and less dangerous to have monetary than fiscal policy to flexibly respond to possible disturbances.
