This column is a lead commentary in the VoxEU Debate "Banking reform: Do we know what has to be done?"
Hair of the dog that bit us: New and improved capital requirements threaten to perpetuate megabank access to a taxpayer put
Edward J Kane, 30 January 2013
Have we solved 'too big to fail'?
Andrew G Haldane, 17 January 2013
Macroeconomic adjustment and the history of crises in open economies
Joshua Aizenman, Ilan Noy, 21 November 2012
Looking at recent banking crises, Gourinchas and Obstfeld (2012) have identified domestic-credit booms and real currency appreciation as the most significant predictors of future banking crises in both advanced and emerging economies1. An optimistic conjecture is that countries that previously experienced banking crises will tend to be more cautious.
Destabilising market forces and the structure of banks going forward
Arnoud Boot, 25 October 2011
The financial services sector has gone through unprecedented turmoil in the last few years. We see fundamental forces that have affected the stability of financial institutions. In particular, information technology has led to an enormous proliferation of financial markets, but also opened up the banks’ balance sheets by enhancing the marketability of their assets.
Incentive pay and bailouts
Tim Besley, Maitreesh Ghatak, 27 August 2011
While it seems that the worst of the financial crisis of 2008 is over, most of the structural issues that lay behind it remain unresolved. This includes distortions in incentive pay due to government protection of investors from downside risk.
Too much finance?
Jean-Louis Arcand, Enrico Berkes, Ugo Panizza, 7 April 2011
The idea that a well-working financial system plays an essential role in promoting economic development dates back to Bagehot (1873) and Schumpeter (1911). Empirical evidence on the relationship between finance and growth is more recent.
Multinational banks: They did not run away during the crisis
Giorgio Barba Navaretti, Alberto Franco Pozzolo, Giacomo Calzolari, Micol Levi, 23 May 2010
A view shared by many has gradually emerged during the crisis, that a world with relatively small domestic banks is safer than one where large global institutions are also important players.
A regulatory architecture for cross-border banking groups
Stefano Micossi, 16 March 2010
Following the demise of Lehman Brothers, the debate on regulatory reform has led to the conclusion that large banking institutions must be broken up and their risk-taking activities limited by law along the lines of the ‘Volcker rule’ (Gros 2010).
Too interconnected to fail = too big to fail: What is in a leverage ratio?
Daniel Gros, 26 January 2010
By now there is general agreement that a financial institution can not only be “too big”, but also “too interconnected” to fail. But how do we measure what it is to be too interconnected?
Policymakers must prevent financial institutions from becoming too connected to fail
Jorge A. Chan-Lau, Marco A. Espinosa-Vega, Kay Giesecke, Juan Solé, 2 May 2009
How should governments handle large and complex financial institutions that are “too big to fail” and “too connected to fail”?
- Distilling the macroeconomic news flowBeber, Brandt, Luisi
- Fiscal consolidation: At what speed?Blanchard, Leigh
- Public debt and economic growth, one more timePanizza, Presbitero
- Escaping liquidity traps: Lessons from the UK’s 1930s escapeCrafts
- The lessons of the North Atlantic crisis for economic theory and policyStiglitz
- A tale of two depressions: What do the new data tell us? February 2010 updateEichengreen, O’Rourke
- Educated in America: College graduates and high school dropoutsHeckman, LaFontaine
- Eurozone breakup would trigger the mother of all financial crisesEichengreen
- Debt, deleveraging, and the liquidity trap: A new modelKrugman
- Panic-driven austerity in the Eurozone and its implicationsDe Grauwe, Ji
Reichlin, Baldwin, 14 April 2013
CEPR Policy Research
- Political Credit Cycles: The Case of the Euro ZoneFernández-Villaverde, Garicano, Santos
- Winning by Losing: Incentive Incompatibility in Multiple QualifiersDagaev, Sonin
- Income and schoolingBrückner, Gradstein
- Monetary Policy and Rational Asset Price BubblesGalí
- Does Supporting Passenger Railways Reduce Road Traffic Externalities?Lalive, Luechinger, Schmutzler