##economic perspective. then comes a presentation by jaime caruana, who will draw some lessons from the recent crisis and the international financial integration. in the afternoon we will feature sujit kapadia and prasanna gai with an analysis of financial contagion using a network model. in addition, there will be two panels that will review financial risk management with two important nuances : its incidence in emerging economies on one hand, and on systemically significant financial institutions, on the other. the economists invited to these panels include michael bordo, paul mcculley, martin redrado, jose dario uribe, martin wolf and roberto zahler. finally, charles calomiris will share with us his vision on the current crisis and the implications of the works presented in this conference. two intense days that hold in store enormous technical content that, without any doubt, will make a fundamental contribution to our future view of macroeconomic and financial phenomena. i want to finish by thanking rodrigo alfaro, dale gray and jorge selaive for their work in putting together this conference. also mauricio calani, monica correa and soledad gallardo, and our institutional affairs management for their help in organizing this event. i also want to thank the many authors and discussants of the papers for their dedication to preparing their valuable presentations. to all of you, dear participants, i wish you two days of fruitful discussion. thank you.

and the global financial stability report. these efforts must now be redoubled. from the standpoint of central banks, recent events have underscored not only their role in monetary policy, but also their important function in the stability of the financial system. in this context, research on issues related with financial stability has been dramatically intensified. clearly, there are varied degrees of consensus regarding how to characterize a good financial policy framework, how to measure it, achieve it and preserve it, as well as its possible tradeoffs with monetary policy. this conference seeks to contribute the study and analysis of these topics, as well as cooperating in our management, as policymakers, of financial stability and associated macrofinancial risk. today, our work will focus on defining the concepts of financial stability and systemic risk, and on understanding the conceptual frameworks that support their evaluation and the links with and feedback from monetary policy. garry schinasi will open the day, introducing what we must understand by financial stability and examining the implications and challenges of understanding systemic risk. claudio borio will explore the operational aspects and the precautions we must take regarding the methodologies we use to measure systemic risk. dale gray will handle the third presentation, integrating the idea of financial risk – by using options – with macroeconomic models focusing on monetary policy analysis, then applying the tools to the particular case of chile based on his joint research with leonardo luna and jorge restrepo. johan molin will share with us the experience of the sveriges riksbank, which has led financial stability analysis since the problems it endured in the early 1990s. this afternoon, francis diebold will analyze, for the financial markets of the united states and four latin american economies, stock returns and volatilities to look for evidence of contagion and its characteristics. charles goodhart, dimitrios tsomocos and alexandros vardoulakis will present us the study of a heterogeneous agent model with a real - estate sector and financial fragility. later on, ethan cohen - cole and enrique martinez - garcia will present their research on the interaction of financial intermediation and banking system regulations and its effect on the optimal monetary policy response. tomorrow will begin with the presentation of jaime ruiz tagle and marcelo fuenzalida, who will examine, for the case of chile, the systemic risk of household debt. miguel segoviano will follow, with a review of systemic risk and banking stability from a macro