Premium
Systemic Risk Monitoring and Financial Stability
Author(s) -
LIANG NELLIE
Publication year - 2013
Publication title -
journal of money, credit and banking
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.763
H-Index - 108
eISSN - 1538-4616
pISSN - 0022-2879
DOI - 10.1111/jmcb.12039
Subject(s) - systemic risk , financial stability , key (lock) , risk analysis (engineering) , stability (learning theory) , business , financial risk , risk assessment , actuarial science , computer science , economics , financial system , financial crisis , computer security , macroeconomics , machine learning
This discussion briefly outlines key elements of a systemic risk monitor to help identify risks to financial stability. The monitor distinguishes shocks, which are varied and difficult to predict, from vulnerabilities, which can amplify shocks and lead to instability. Better data and models of amplification channels, and better communication among different authorities, are needed to be effective.