Bank of England Governor Mark Carney recently told graduates in his Canadian hometown that the job market they are about to enter is volatile, with greater gains to be had from creating new products.
In a commencement speech given at the University of Alberta in Edmonton, Carney noted that the 2008 global financial crisis had much to do with this, causing past producers of economic growth to fall by the wayside as new health, energy, and financial technologies are increasing opportunities for graduates worldwide.
“Today, those who are blessed with talent and opportunity can reap tremendous rewards,” said Carney, whose father was professor of education at the university. “Gains to success are magnified in the global marketplace. Now is the time to be famous or fortunate.”
Carney gave the speech while also accepting an honorary degree from the school his father taught at, located in the town he grew up in before becoming the first foreign national to hold the position as leader of the UK central bank. He is one of 11 to receive an honorary degree from the school this month.
The speech continued to say that future leaders should bring commerce and banking back to the service of the public. He suggested that finance itself is not an end, but instead is a means by which to promote investment, innovation, growth, and prosperity.
No mention was made pertaining to the specifics of the UK economy, while Carney suggested much more work was needed to be done before the world economy could return to a healthier state.
“Affect bias, which means an economic form of post-traumatic stress disorder, something that induces consumer and corporate caution, is weighing on global growth. Questions are being raised about the effectiveness of macro-economic policies, the merits of global markets, and even the sustainability of our traditional engines of growth.”
He added that graduates should uphold a number of values including personal responsibility, hard work, honesty, and respect, saying it is all of this that puts together the essential framework for the free market, writes Gordon Kent for The Edmonton Journal.
The course of the speech took a turn when Carney began to discuss an increase in how change is occurring for the economy, technology, and culture. He suggested that many industries that are currently in existence may not be around for much longer.
He went on to say that those looking for jobs should remember to be flexible, using his own life as an example. A Canadian economist, he is the first non-British holder of his current position as Governor of the Bank of England since the Bank was established in 1694. The Bank was given additional powers in 2013, the same year he was appointed to the position, including the ability to set bank capital requirements.
Carney is also Chairman of the G20’s Financial Stability Board. He previously held the position of the Governor of the Bank of Canada, beginning his career with Goldman Sachs, spending thirteen years in its London, Tokyo, New York, and Toronto offices before joining the Canadian Department of Finance.
He did not go on to discuss his own future, which remains uncertain. All he said was that he plans to make a decision before the end of the year as to whether or not he will serve a full eight-year term as BOE governor, writes Greg Quinn for Bloomberg. When he was originally appointed the position, he only committed to five years.
“Your generation will determine how well the world commercializes fundamental breakthroughs in areas such as new energy technologies, biotech and fintech,” he said. “And your generation will determine whether we maintain the social capital for shared prosperity consistent with the values of this university and country.”