Cover -- Title -- Copyright -- Contents -- List of Figures -- List of Tables -- Foreword -- Preface -- 1 Introduction -- 2 The antecedents of the BCBS -- A Introduction -- B The Groupe de Contact -- C The Eurodollar market, Herstatt and international financial stability -- D First steps -- 3...

We use Bayesian time-varying parameters VARs with stochastic volatility to investigate changes in the marginal predictive content of the yield spread for output growth in the United States and the United Kingdom, since the Gold Standard era, and in the Eurozone, Canada, and Australia over the...

This paper assesses the linkages between money, credit, house prices and economic activity in industrialised countries over the last three decades. The analysis is based on a fixed-effects panel VAR estimated using quarterly data for 17 industrialized countries spanning the period 1970-2006. The...

Purpose: Learning often requires little or no expenditure in income; its real cost is that it takes time. The paper aims to discuss this issue. Design/methodology/approach: Since time is scarce, most people normally decide not to learn about many aspects of modern life, but rather to specialise...

We show, in a monetary exchange economy, that asset prices in a complete markets general equilibrium are a function of the supply of liquidity by the Central Bank, through its effect on default and interest rates. Two agents trade goods and nominal assets to smooth consumption across periods and...

The regulation of bank capital in the form of capital adequacy requirements is itself inherently procyclical; it bites in downturns, but fails to restrain in booms. The more risk-sensitive the regulation, the greater the scope for pro-cyclicality to become a problem, particularly in view of the...

Our purpose in this paper is to produce a tractable model which illuminates problems relating to individual bank behaviour and risk-taking, to possible contagious interrelationships between banks, and to the appropriate design of prudential requirements and incentives to limit ‘excessive’...