Procyclicality in the financial system
Subtitle: do we need a new  macrofinancial stabilisation framework?
By: by William R. White
Contributors: Bank for International Settlements. Monetary and Economic Department
Series: BIS working papers -- no. 193; BIS working papers (Online) -- no. 193.
Publisher: Bank for International Settlements
Published: 2006
Place of publication: Basel, Switzerland
Language: eng
Format: [electronic resource] :
Description: The successful pursuit of the objective of low inflation by central banks in recent decades has also delivered low variability of both inflation and output. At the same time, numerous financial and other "imbalances" (defined here as significant and sustained deviations from historical norms) have emerged. Should these imbalances revert to the mean, there could be significant effects on output growth. Although such an adverse outcome remains only a possibility, the question asked in this paper is whether we might still benefit from a new macrofinancial stabilisation framework in which monetary and regulatory policies gave more attention to avoiding the emergence of imbalances in the first place.
Notes: Title from PDF file (viewed on May 31, 2006).

"Monetary and Economic Department."

"January 2006."

Includes bibliographical references.

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