On the Design of Monetary and Macroprudential Policies
The financial crisis, recession, and slow recovery have emphasized the interactions between financial markets and the real economy.
Ring‑Fencing and “Financial Protectionism” in International Banking
Some market watchers and academic researchers are concerned about a “Balkanization” of banking, owing to a sharp decline in cross-border international banking activity, and an increased home bias of financial transactions.
Why Isn’t the Thirty‑Year Fixed‑Rate Mortgage at 2.6 Percent?
As of mid-December, the average thirty-year fixed-rate mortgage was near its historic low of about 3.3 percent, or half its level in August 2007 when financial turmoil began.
The Odd Behavior of Repo Haircuts during the Financial Crisis
Since the financial crisis began, there’s been substantial debate on the role of haircuts in U.S. repo markets.
A Principle for Forward‑Looking Monitoring of Financial Intermediation: Follow the Banks!
In the previous posts in this series on the evolution of banks and financial intermediaries, my colleagues and I considered the extent to which banks still play a central role in financial intermediation, given the rise of the shadow banking system.
Introducing a Series on the Evolution of Banks and Financial Intermediation
It used to be simple: Asked how to describe financial intermediation, you would just mention the word “bank.”
The Impact of Trade Reporting on the Interest Rate Derivatives Market
In recent years, regulators in the United States and abroad have begun to strengthen regulations governing over-the-counter (OTC) derivatives trading, driven by concerns over the decentralized and opaque nature of current trading practices.
How Has the Business of International Banking Changed?
In this post, I focus on the broad historical progression of international banking activity.
How Might Increased Transparency Affect the CDS Market?
The credit default swap (CDS) market has grown rapidly since the asset class was developed in the 1990s.