the individual bank or for the system as a whole. Objections to substantial increases in capital requirements rest on …

tend to be procyclical. That is, regulatory tools—most notably, bank capital requirements—incentivize excessive credit … applies these principles to five specific areas in which financial regulators should bolster countercyclical oversight: bank …

stability, the interpretation of their role in doing so has varied. We identify three stable epochs, when such interpretations … blueprint. The final such epoch concluded with a crisis, when it became apparent that macro-economic stability, the Great … Moderation, plus (efficient) markets could not guarantee financial stability. So the search is now on for additional macro …