AbstractThis chapter aims to provide a conceptual framework on risk and uncertainty, with the goal of helping the reader gain a better understanding of how risk is measured and managed. Beginning with Luca Pacioli until the recent development in the discipline of risk management, the theoretical...

AbstractThe following sections are included:Lessons LearnedImplications for the Federal ReserveConclusionReferences

AbstractThe following sections are included:IntroductionData and MethodologyFrequency-based filter analysisTurning-point analysisCharacterizing Cycles in Individual SeriesFrequency-based filter analysis: Short-term and medium-term cyclesTurning-point analysis: Short-term and medium-term...

AbstractMore than four years have passed since the onset of the financial crisis. Over these years, central banking functions have been stretched to the limits…

AbstractThe following sections are included:Systemic Risk and the Financial Crisis of 2007 to 2009Regulating Systemic RiskObstacle 1: Measuring Systemic RiskObstacle 2: Implementing the Tax on Systemic RiskObstacle 3: Is Moral Hazard Solved?The Dodd-Frank Wall Street Reform and Consumer...

AbstractThe following sections are included:IntroductionDodd-Frank's New Resolution RulesOrigin myths and their implicationsKey problems with Dodd-Frank resolutionPotential benefitsThe Bankruptcy AlternativeThe bankruptcy processBenefits of bankruptcyThe limitations of bankruptcyThe role and...

AbstractThe following sections are included:Misconceptions about Crises and Crisis ResponseCentral Bank and Government Rescue ProgramsRethinking Systemic RiskUsefulness of Capital Requirements has been OversoldUndone by the Regulatory DialecticRecommendations for ReformTraditional Reporting and...

AbstractThe following sections are included:Equity Risk Premiums: Importance and DeterminantsWhy Does the Equity Risk Premium Matter?A price for riskExpected returns and discount ratesInvestment and policy implicationsWhat are the Determinants of Equity Risk Premiums?Risk aversion and...

AbstractThe following sections are included:IntroductionThe EventMethodologyGuarantees and Risk-TakingThe Net Effect of Guarantees—The Role of Charter ValuesNormal Times versus Crisis TimesDiscussion and ConclusionReferencesAppendix 1. Listed Banks Implicated by the DBRS Introduction of the SA...

AbstractThe following sections are included:IntroductionInterest Differentials, Carry Trades, and Worldwide InflationCarry Trades and International Monetary ReformA New International Monetary Agreement?The Supply Constraint on Bank CreditA Concluding Note on Stagflation in the United...