Bank for International Settlements for central banks, as speculative lending based on inadequate underlying capital and widely varying liability rules causes economic crises as "bad money drives out good" (Gresham's Law). Reserve policy is also important, especially to consumers and the domestic economy. To ensure liquidity and limit liability to the larger economy, banks cannot create money in specific industries or regions without limit. To make bank depositing and borrowing safer for customers and reduce risk of bank runs, banks are required to set aside or "reserve". Reserve policy is harder to standardize, as it depends on local conditions and is often fine-tuned to
Good cop/bad cop Good cop/bad cop "Good cop/bad cop" routine, also called joint questioning or friend and foe, is a psychological tactic used in negotiation and interrogation. "Good cop/bad cop" tactics involve a team of two interrogators who take apparently opposing approaches to the subject. The interrogators may interview the subject alternately or may confront the subject at the same time. The "bad cop" takes an aggressive, negative stance towards the subject, making blatant accusations, derogatory comments, threats, and in general creating antipathy between the subject and himself. This sets the stage for the "good cop" to act sympathetically, appearing supportive and understanding,