Fourth BIS Research Network meeting on "Financial intermediation and macroeconomic stability"


On 14 March 2016, the BIS held the fourth BIS Research Network meeting, bringing together researchers from academia and central banks exploring long-range research issues related to banking, monetary policy, regulation and financial stability. With financial intermediation and macroeconomic stability as the main theme, participants discussed the international transmission of credit bubbles, the effectiveness of monetary policy at the zero lower bound, the debt-equity mix, monetary policy and volatility of international capital flows, bank capital and lending behaviour.

Monday 14 March 2016


Welcome remarks by Luiz Awazu Pereira da Silva


Session 1:

Financial factors and macroeconomic stability
Chair: Hyun Song Shin



"The international transmission of credit bubbles: theory and policy" (presentation), Alberto Martin and Jaume Ventura
Discussant: Enrique Mendoza (presentation)

"The "Reversal Rate": The effective lower bound on monetary policy", Markus K Brunnermeier and Yann Koby
Discussant: Loriana Pelizzon (presentation)


Session 2:

Debt equity mix
Chair: Dimitri Vayanos



"Capital structure and taxes: what happens when you (also) subsidize equity?" (presentation), Frédéric Panier, Francisco Pérez-González and Pablo Villanueva
Discussant: Elena Carletti (presentation)


Session 2, continued:

"The effects of tax on bank liability structure" (presentation), Leonardo Gambacorta, Suresh M Sundaresan, Giacomo Ricotti and Zhenyu Wang
Discussant: Darrell Duffie (presentation)


Session 3:

Financial intermediation, bank capital and aggregate adjustments
Chair: Claudio Borio



"Self-oriented monetary policy, global financial markets and excess volatility of international capital flows" (presentation), Ryan Banerjee, Giovanni Lombardo and Michael B Devereux
Discussant: Charles Engel (presentation)


Session 3, continued:

"Aggregate bank capital and credit dynamics" (presentation), Nataliya Klimenko, Sebastian Pfeil, Gianni De Nicolò and Jean-Charles Rochet
Discussant: Dimitri Vayanos (presentation)


Closing remarks: Hyun Song Shin