About this conference
On 12-13 May 2011 the BIS held a conference on "Monetary policy, financial stability and the business cycle", the second under the auspices of the BIS Consultative Council for the Americas (CCA). It brought together researchers from the central banking community in the region and distinguished academics and was hosted by the Bank of Canada in Ottawa.
- Jorge Carrera (Central Bank of Argentina)
- Adriana Soares Sales (Central Bank of Brazil)
- Allan Crawford (Bank of Canada)
- Luis Oscar Herrera (Central Bank of Chile)
- Manuel Ramos Francia (Bank of Mexico)
- Thomas Connors and Michael Leahy (US Federal Reserve Bank)
- Stephen G. Cecchetti (BIS Economic Adviser and Head of the Monetary and Economic Department)
- Carlos Montoro (Senior Economist at the BIS Representative Office for the Americas)
- Ramon Moreno (Head of Economics for Latin America and the Caribbean at the BIS)
A Scientific Committee, led by Stephen G Cecchetti, and comprising CCA central bank heads of research, selected papers on the following topics:
- Complementarities and trade-offs;
- Asset price bubbles
- Measurement, modelling and monitoring;
- Network effects, interaction between financial institutions and financial markets;
- Issues of financial development (eg role of incomplete markets, trade-off between financial development and financial stability);
- Bank Efficiency, competition and financial stability;
- Credit and concentration risk, stress testing
- Forecasting and nowcasting, turning points, data uncertainty, common cycles in sectors and countries;
- Procyclicality and credit demand;
- Feedback effects, interaction between macroeconomic policy and macroprudential policy, macroeconomic impact of macroprudential policy
- Monetary policy and financial stability issues raised by capital flows;
- Policy measures to deal with capital inflows (eg capital controls)
Day 1 - 12 May
Chair: Allan Crawford (Bank of Canada)
| The risk-taking channel and monetary transmission mechanism in Colombia | Martha López, Fernando Tenjo and Héctor Zárate (Bank of the Republic) | Presentation Discussant: Tobias Adrian (Federal Reserve Bank of New York) (15 minutes) | Presentation |
| Financial intermediation, risk taking and monetary policy | Simona Cociuba (Federal Reserve Bank of Dallas), Malik Shukayev and Alexander Ueberfeldt (Bank of Canada) | Presentation Discussant: Benôit Mojon (Bank of France) (15 minutes) | Presentation |
Chair: Thomas Connors (Board of Governors of the Federal Reserve System)
| Market freeze and recovery: trading dynamics under optimal intervention by a Market-Maker-of-Last-Resort | Jonathan Chiu (Bank of Canada) and Thorsten Koeppl (Queen's University) | Presentation Discussant: Ricardo Lagos (New York University) (15 minutes) | Presentation |
| Bank capital buffers, lending growth and economic cycle: empirical evidence for Brazil | Benjamin Miranda Tabak (Central Bank of Brazil), Ana Clara Noronha (Universidade de Brasília) and Daniel Cajueiro (Universidade de Brasília and National Institute of Science and Technology for Complex Systems) | Presentation Discussant: Gerald Dwyer (Federal Reserve Bank of Atlanta) (15 minutes) | Presentation |
| Too-connected-to-fail institutions and payment system's stability: assessing challenges for financial authorities | Carlos Leon, Clara Machado, Freddy Cepeda and Miguel Sarmiento (Bank of the Republic) | Presentation Discussant: George Pennacchi (University of Illinois) (15 minutes) | Presentation |
Day 2 - 13 May
Chair: Manuel Ramos Francia (Bank of Mexico)
| Understanding the impact of the global financial shock on the Chilean economy | Rodrigo Caputo, Juan Pablo Medina and Claudio Soto (Central Bank of Chile) | Presentation Discussant: Olivier Jeanne (Johns Hopkins University) (15 minutes) | Presentation |
| Monetary Policy in Emerging Market Economies: What Lessons from the Global Financial Crisis? | Brahima Coulibaly (Board of Governors of the Federal Reserve System) | Presentation Discussant: Roberto Chang (Rutgers University) (15 minutes) | Presentation |
| The bank lending channel in Peru: evidence and transmission mechanism | Cesar Carrera (Central Reserve Bank of Peru) | Presentation Discussant: James Hamilton (University of California, San Diego) (15 minutes) | Presentation |
Chair: Stephen Cecchetti (Bank for International Settlements)
| FX co-movements: disentangling the role of global market factors, carry-trades and idiosyncratic components | José Gonzalo Rangel (Bank of Mexico) | Presentation Discussant: Riccardo Colacito (University of North Carolina) (15 minutes) | Presentation |
Overview and discussion | Summary, presentation
Moderator: Stephen Cecchetti, Bank for International Settlements (10 minutes)