Abstract
The ongoing global financial crisis has demonstrated the importance of a system-wide, or macroprudential, approach to safeguarding financial stability. This book concerns macroprudential oversight from the viewpoint of three tasks: Within analytical tools for risk identification and risk assessment, the focus concerns a tight integration of means for risk communication. This introduction is structured as follows. First, it presents the background of macroprudential oversight and briefly positions the topic of this book. Then, it discusses the two key objectives of this book and untangles them into five research questions, which is followed by a chapter-specific overview of the book.
When the crisis came, the serious limitations of existing economic and financial models immediately became apparent. [...] As a policy-maker during the crisis, I found the available models of limited help. In fact, I would go further: in the face of the crisis, we felt abandoned by conventional tools.
–Jean-Claude Trichet, President of the ECB,
Frankfurt am Main, 18 November 2010
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Alessi, L., & Detken, C. (2011). Quasi real time early warning indicators for costly asset price boom/bust cycles: A role for global liquidity. European Journal of Political Economy, 27(3), 520–533.
Ashby, R. (1957). An introduction to cybernetics. London: Chapman & Hall.
Bezemer, D. (2011). The credit crisis and recession as a paradigm test. Journal of Economic Issues, 45(1), 1–18.
Bisias, D., Flood, M., Lo, A., & Valavanis, S. (2012). A survey of systemic risk analytics. Annual Review of Financial Economics, 4, 255–296.
Bordo, M., Eichengreen, B., Klingebiel, D., & Martinez-Peria, M. (2001). Is the crisis problem growing more severe? Economic Policy, 32, 51–82.
Borio, C., & Lowe, P. (2002). Asset prices, financial and monetary stability: Exploring the nexus. BIS working papers, No. 114.
Borio, C., & Lowe, P. (2004). Securing sustainable price stability: Should credit come back from the wilderness? BIS working papers, No. 157.
Cardarelli, R., Elekdag, S., & Lall, S. (2011). Financial stress and economic contractions. Journal of Financial Stability, 7(2), 78–97.
Carletti, E. (2008). Competition and regulation in banking. In A. Boot & A. Thakor (Eds.), Handbook in Financial Intermediation (pp. 449–482). North Holland: Elsevier.
Castrén, O., Fitzpatrick, T., Sydow, M. (2009). Assessing portfolio credit risk changes in a sample of EU large and complex banking groups in reaction to macroeconomic shocks, ECB working paper, No. 1002.
Chen, C. (2005). Top 10 unsolved information visualization problems. IEEE Computer Graphics and Applications, 25(4), 12–16.
Dattels, P., McCaughrin, R., Miyajima, K., Puig, J. (2010). Can you map global financial stability? IMF working paper, No. 10/145.
de Bandt, O., & Hartmann, P. (2002). Systemic risk in banking: A survey. In C. Goodhart & G. Illing (Eds.), Financial crisis, contagion and the lender of last resort: A book of readings. Oxford: Oxford University Press.
de Bandt, O., Hartmann, P., & Peydro, J. (2009). Systemic risk in banking: An update. In A. Berger & M. P., Wilson, J. (Eds.), Oxford Handbook of Banking. Oxford: Oxford University Press.
Deakin, E. (1976). Distributions of financial accounting ratios: Some empirical evidence. The Accounting Review, 51, 90–96.
Dell’ariccia, G., Detragiache, E., & Rajan, R. (2008). The real effects of banking crises. Journal of Financial Intermediation, 17, 89–112.
Demirgüç-Kunt, A., & Detragiache, E. (1998). The determinants of banking crises in developing and developed countries. IMF Staff Papers, 45(1), 81–109.
ECB. (2009). The concept of systemic risk. In: Financial stability review (December 2009). Frankfurt, Germany: European Central Bank.
ECB. (2010). Analytical models and tools for the identification and assessment of systemic risks. In: Financial stability review,. (June 2010). Frankfurt. Germany: European Central Bank.
Eichengreen, B. (2004). Financial instability. Paper written on behalf of the Copenhagen Consensus and presented in Copenhagen on May 25–28, 2004.
Fell, J., & Schinasi, G. (2005). Assessing financial stability: Exploring the boundaries of analysis. National Institute Economic Review, 192, 102–117.
Flood, M., & Mendelowitz, A. (2013). Monitoring financial stability in a complex world. In V. Lemieux (Ed.), Financial analysis and risk management data governance (pp. 15–45). Springer-Verlag, Heidelberg: Analytics and Life Cycle Management.
Gorton, G. (1988). Banking panics and business cycles. Oxford Economic Papers, 40(4), 751–781.
Hartmann, P. (2009). The financial crisis, systemic risk and macro-prudential supervision, keynote address at the Conference on contemporary issues in financial markets and institutions (December, 9). City University London, London.
Hartwig, J. (2007). Is the transatlantic gap in economic growth really widening? In J. McCombie & C. Rodriguez (Eds.), The European Union: Current problems and prospects (pp. 68–83). Basingstoke: Palgrave-Macmillan.
Hirtle, B., Schuermann, T., & Stiroh, K. (2009). Macroprudential supervision of financial institutions: Lessons from the scap, Staff Report No. 409. New York: Federal Reserve Bank of New York.
Hoggarth, G., Reis, R., & Saporta, V. (2002). Costs of banking system instability: Some empirical evidence. Journal of Banking & Finance, 26(5), 825–855.
Holló, D., Kremer, M., & Lo Duca, M. (2012). CISS - a composite indicator of systemic stress in the financial system. ECB working paper, No. 1426.
IMF. (2009). Assessing the systemic implications of financial linkages, global financial stability report April. Washington: International Monetary Fund.
Laeven, L., & Valencia, F. (2008). Systemic banking crises: A new database. IMF working paper, 08/224.
Lo Duca, M., & Peltonen, T. (2013). Assessing systemic risks and predicting systemic events. Journal of Banking & Finance, 37(7), 2183–2195.
Minsky, H. (1982). Can "it" Happen Again?: Essays on Instability and finance. Armonk, New York: M.E. Sharpe.
Nobes, C. (2006). The survival of international differences under IFRS: Towards a research agenda. Accounting and Business Research, 36(3), 233–245.
Reinhart, C., & Rogoff, K. (2008). Is the 2007 us sub-prime financial crisis so different? an international historical comparison. American Economic Review, 98(2), 339–344.
Reinhart, C. M., & Rogoff, K. (2009). This time is different: Eight centuries of financial folly. Princeton: Princeton University Press.
Schou-Zibell, L., Albert, J., Song, L. (2010, March). A macroprudential framework for monitoring and examining financial soundness. ADB working paper series on regional economic intergration, Asia: Asian Development Bank.
Tukey, J. (1977). Exploratory data analysis. Reading, PA: Addison-Wesley.
Upper, C., & Worms, A. (2004). Estimating bilateral exposures in the german interbank market: Is there a danger of contagion? European Economic Review, 48(4), 827–849.
van Lelyveld, I., & Liedorp, F. (2006). Interbank contagion in the Dutch banking sector: A sensitivity analysis. International Journal of Central Banking, 2(2),
Wismüller, A., Verleysen, M., Aupetit, M., & Lee, J. (2010). Recent advances in nonlinear dimensionality reduction, manifold and topological learning. Proceedings of the European Symposium on artificial neural networks (ESANN 10) (pp. 71–80). Bruges, Belgium.
Wong, P., Shen, H., Johnson, C., Chen, C., & Ross, R. (2012). The top 10 challenges in extreme-scale visual analytics. IEEE Computer Graphics and Applications, 32(4), 63–67.
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2014 Springer-Verlag Berlin Heidelberg
About this chapter
Cite this chapter
Sarlin, P. (2014). Introduction. In: Mapping Financial Stability. Computational Risk Management. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-54956-4_1
Download citation
DOI: https://doi.org/10.1007/978-3-642-54956-4_1
Published:
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-642-54955-7
Online ISBN: 978-3-642-54956-4
eBook Packages: Business and EconomicsEconomics and Finance (R0)