The recent financial crisis has shown how interconnected the financial world has become. Shocks in one location or … asset class can have a sizable impact on the stability of institutions and markets around the world. But systemic risk …

linkages, the two-way interactions between the real economy and the financial sector. The crisis was a bitter reminder of how … brink of collapse and the deepest contraction in world output in more than half a century followed. Moreover, unprecedented … real economy and the financial sector. The topic of macrofinancial linkages promises to remain an exciting area of research …