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M&B-Ch.1
M&B-Ch.1

Higher Capital Ratios
Higher Capital Ratios

... . One of the aims of macro-prudential policy is to act counter-cyclically on the credit cycle, constraining credit booms and cushioning busts. In this role, macro-prudential policy is complementing monetary policy in its role of stabilising the macro-economy. Macro-economic policy then becomes, in e ...
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Dr Sri Mulyani Indrawati

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... weakness over the army and gendarmes striking for higher wages. There was also some position rotation out of the region as investors made room for the new issuance described above. We expect market volatility to rise as Trump takes a firm grip on power. We also expect the forthcoming monthly global ...
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...  Asset bubbles occur when the prices of some asset, like stocks or real estate, increase rapidly due to some combination of low interest rates, high leverage, new technology, and large, often selffulfilling, shifts in demand.  The expectation of higher prices in the future, combined with high leve ...
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Mr. Mojmir Mrak

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Argentina Crisis

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... uncertainty in turn can make it impossible for a country to act decisively in the world. Roosevelt faced the rise of fascism, Reagan the growing power of the Soviet Union. Neither could afford the destabilizing consequences of a severe economic crisis, yet neither knew how to solve the problem throu ...
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... – Concept of contagion implies that failure of any financial institution (banks, broker dealers, ...
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... manage themselves in a way that facilitates the orderly management of crises, including through deposit insurance and the resolution of distressed firms. He explained how the banking system should bear the cost of insuring retail depositors against loss, through a risk-based, pre-funded system of de ...
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... by “unsafe” products  Skills required to certify “safety” and “effectiveness” different from those entailed in financial market ...
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... During the 1980s and 1990s (a) the volume of worldwide cross-border transactions in stocks and bonds grew very rapidly, but the volume of international bank lending declined. (b) the volume of international bank lending grew very rapidly, but the volume of worldwide crossborder transactions in stock ...
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Financial crisis

The term financial crisis is applied broadly to a variety of situations in which some financial assets suddenly lose a large part of their nominal value. In the 19th and early 20th centuries, many financial crises were associated with banking panics, and many recessions coincided with these panics. Other situations that are often called financial crises include stock market crashes and the bursting of other financial bubbles, currency crises, and sovereign defaults. Financial crises directly result in a loss of paper wealth but do not necessarily result in changes in the real economy.Many economists have offered theories about how financial crises develop and how they could be prevented. There is no consensus, however, and financial crises continue to occur from time to time.
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