Macroprudential Regulation of International Finance: Managing Capital Flows and Exchange Rates

摘要

Microprudential regulations for banks and securities market have existed for a long while, but the concept of macro-prudential prudential regulation is relatively recent. Since the global economy, particularly the advanced economies, was traumatized by the unprecedented global financial crisis of 2007-09, macroprudential regulations and policies have attracted interest of policy mandarins and academic scholars alike. They are regarded as a potential additional set of tools to complement the normal kind of monetary policies. Their principal objective is to counteract financial market excesses and subsequent crashes like the global financial crisis. Macroprudential regulation are devised by the macroeconomic policy-makers with the knowledge that the whole of the financial system is more than the sum of the parts.