LA CRISE FINANCIERE, VUE PAR LE FMI

A Crisis of Confidence... and a lot more Laura Kodres What can be done to prevent future crises like the one that began in the U.S. subprime mortgage market? This article argues that the source of the problem lies in incentives. But the remedies may be difficult to implement because faulty incentives are entrenched in the marketplace and in regulatory and supervisory systems. (432 kb, pdf file) Outbreak: U.S. Subprime Contagion Randall Dodd and Paul Mills The authors examine the origins of the subprime mortgage crisis and the reasons for its large spillover effects. They suggest policies to deal with such problems should aim to moderate leverage, improve liquidity management, foster market liquidity, promote due diligence, and increase transparency in the public availability of price and trading information. (276 kb, pdf file) Point of View: Asia: A Perspective on the Subprime Crisis Khor Hoe Ee and Kee Rui Xiong The authors, from the Monetary Authority of Singapore, examine the current crisis through the lens of the financial crisis that hit Asia in 1997. They discuss lessons industrial countries can take from the Asian crisis and lessons Asian countries can learn from the subprime crisis. They also explore the reasons for Asia's resilience, so far, to the current crisis. (328 kb, pdf file) Banking on More Capital Jaime Caruana and Aditya Narain One reason that banks succumbed to the subprime crisis is that they did not hold adequate amounts of capital. Against that background, the authors discuss the Basel II New Capital Adequacy Framework, suggesting that it does not address all the regulatory issues that arose from the crisis but that it does, nonetheless, have a key role to play. (300 kb, pdf file) A Crisis of Confidence... and a lot more Laura Kodres What can be done to prevent future crises like the one that began in the U.S. subprime mortgage market? This article argues that the source of the problem lies in incentives. But the remedies may be difficult to implement because faulty incentives are entrenched in the marketplace and in regulatory and supervisory systems. (432 kb, pdf file) Outbreak: U.S. Subprime Contagion Randall Dodd and Paul Mills The authors examine the origins of the subprime mortgage crisis and the reasons for its large spillover effects. They suggest policies to deal with such problems should aim to moderate leverage, improve liquidity management, foster market liquidity, promote due diligence, and increase transparency in the public availability of price and trading information. (276 kb, pdf file) Point of View: Asia: A Perspective on the Subprime Crisis Khor Hoe Ee and Kee Rui Xiong The authors, from the Monetary Authority of Singapore, examine the current crisis through the lens of the financial crisis that hit Asia in 1997. They discuss lessons industrial countries can take from the Asian crisis and lessons Asian countries can learn from the subprime crisis. They also explore the reasons for Asia's resilience, so far, to the current crisis. (328 kb, pdf file) Banking on More Capital Jaime Caruana and Aditya Narain One reason that banks succumbed to the subprime crisis is that they did not hold adequate amounts of capital. Against that background, the authors discuss the Basel II New Capital Adequacy Framework, suggesting that it does not address all the regulatory issues that arose from the crisis but that it does, nonetheless, have a key role to play. (300 kb, pdf file) Point of View: Will Basel II Help Prevent Crises or Worsen Them? Jesús Saurina and Avinash D. Persaud The authors offer opposing views on whether the Basel II capital adequacy guidelines are too procyclical—that is, too lax on capital requirements during good times and too strict when conditions deteriorate. (172 kb, pdf file) VOIR : La crise 2007-2008

Point of View: Will Basel II Help Prevent Crises or Worsen Them? Jesús Saurina and Avinash D. Persaud The authors offer opposing views on whether the Basel II capital adequacy guidelines are too procyclical—that is, too lax on capital requirements during good times and too strict when conditions deteriorate. (172 kb, pdf file)