Preparing for the Next Financial Crisis : Policies, Tools and Models

This book focuses perspectives on finance and banking on predicting future financial crises. It is for students and scholars in financial regulation, banking and macroprudential policy-making, as well as practitioners working in central banks and other financial institutions concerned with risk management and financial regulation.

In the years since the subprime financial crisis of 2007–2011, we have learned a number of important lessons about the crisis, and have subsequently applied appropriate legislation, such as increased capital ratios and systematic stress testing, in order to combat it. However, it would be naive to suggest that such measures have put an end to the possibility of future crises. In this book, senior figures in economics, risk Management, and the banking sector use active research and policy debates to offer a wide perspective on what the next financial crisis may look like and what can be done about it from a regulatory point of view. By first exploring issues of macroeconomic policy, and then studying cutting-edge methodologies, challenging important aspects of testing financial practice, this book will be an essential read for all those studying and researching financial crises, financial regulation and macroprudential policy-making.