Systemic risk measurement and macroprudential policy: Implications for New Zealand and beyond

2013 ◽  
Vol 47 (1) ◽  
pp. 95-110 ◽  
Author(s):  
Prasanna Gai
Keyword(s):  
New Zealand ◽  
Systemic Risk ◽  
Risk Measurement ◽  
Policy Implications ◽  
Macroprudential Policy

Macroprudential Policy Instruments of Central Banks

2012 ◽  
pp. 32-47
Author(s):  
S. Andryushin ◽  
V. Kuznetsova
Keyword(s):  
Systemic Risk ◽  
Financial Stability ◽  
Financial System ◽  
Policy Instruments ◽  
Central Banks ◽  
Macroprudential Policy ◽  
Policy Studies ◽  
The Future ◽  
Financial Cycles

The paper analyzes central banks macroprudencial policy and its instruments. The issues of their classification, option, design and adjustment are connected with financial stability of overall financial system and its specific institutions. The macroprudencial instruments effectiveness is evaluated from the two points: how they mitigate temporal and intersectoral systemic risk development (market, credit, and operational). The future macroprudentional policy studies directions are noted to identify the instruments, which can be used to limit the financial systemdevelopment procyclicality, mitigate the credit and financial cycles volatility.

scholarly journals A global perspective on macroprudential policy interaction with systemic risk, real economic activity, and monetary intervention

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Mikhail I. Stolbov ◽  
Maria A. Shchepeleva ◽  
Alexander M. Karminsky
Keyword(s):  
Systemic Risk ◽  
Industrial Production ◽  
Economic Activity ◽  
Global Financial Crisis ◽  
Convincing Evidence ◽  
Global Perspective ◽  
Growth Effect ◽  
Macroprudential Policy ◽  
Study Results ◽  
Systemic Stress

AbstractThe study empirically assesses how macroprudential policy interacts with systemic risk, industrial production, and monetary intervention on a global level from January 2006 to December 2018. We adopt the aggregate proxies of these variables, capturing their global effects, and use a novel econometric technique, namely, smooth local projections. The study finds that global macroprudential policy leads the monetary policy, exhibiting a countercyclical pattern concerning industrial production. The latter has an inverse bidirectional linkage with systemic risk. Thus, an ex-ante tight macroprudential policy can indirectly mitigate global systemic risk through its pro-growth effect on industrial production, although no convincing evidence exists for the direct impact of a macroprudential intervention on systemic risk. The study results endure several extensions and a robustness check, which builds on alternative measures of global systemic stress and real economic activity, thereby legitimizing the increased importance attached to the macroprudential policy since the 2007–2009 global financial crisis.

scholarly journals Zero Carbon Building Practices in Aotearoa New Zealand

Energies ◽  
2021 ◽  
Vol 14 (15) ◽  
pp. 4455
Author(s):  
Thao Thi Phuong Bui ◽  
Suzanne Wilkinson ◽  
Niluka Domingo ◽  
Casimir MacGregor
Keyword(s):  
Climate Change ◽  
New Zealand ◽  
Construction Industry ◽  
Local Governments ◽  
Early Stage ◽  
Policy Implications ◽  
Structured Interviews ◽  
Building Projects ◽  
Aotearoa New Zealand ◽  
Zero Carbon

In the light of climate change, the drive for zero carbon buildings is known as one response to reduce greenhouse gas emissions. Within New Zealand, research on climate change mitigation and environmental impacts of buildings has received renewed attention. However, there has been no detailed investigation of zero carbon building practices. This paper undertakes an exploratory study through the use of semi-structured interviews with government representatives and construction industry experts to examine how the New Zealand construction industry plans and implements zero carbon buildings. The results show that New Zealand’s construction industry is in the early stage of transiting to a net-zero carbon built environment. Key actions to date are focused on devising a way for the industry to develop and deliver zero carbon building projects. Central and local governments play a leading role in driving zero carbon initiatives. Leading construction firms intend to maximise the carbon reduction in building projects by developing a roadmap to achieve the carbon target by 2050 and rethinking the way of designing and constructing buildings. The research results provide an insight into the initial practices and policy implications for the uptake of zero carbon buildings in Aotearoa New Zealand.

scholarly journals Systemic risk measurement: bucketing global systemically important banks

2021 ◽  
Author(s):  
Marina Brogi ◽  
Valentina Lagasio ◽  
Luca Riccetti
Keyword(s):  
Systemic Risk ◽  
Financial System ◽  
Capital Requirements ◽  
Insurance Premium ◽  
Risk Measurement ◽  
Marginal Contribution ◽  
General Consensus ◽  
Systemically Important Banks

AbstractThe general consensus on the need to enhance the resilience of the financial system has led to the imposition of higher capital requirements for certain institutions, supposedly based on their contribution to systemic risk. Global Systemically Important Banks (G-SIBs) are divided into buckets based on their required additional capital buffers ranging from 1% to 3.5%. We measure the marginal contribution to systemic risk of 26 G-SIBs using the Distressed Insurance Premium methodology proposed by Huang et al. (J Bank Financ 33:2036–2049, 2009) and examine ranking consistency with that using the SRISK of Acharya et al. (Am Econ Rev 102:59–64, 2012). We then compare the bucketing using the two academic approaches and supervisory buckets. Because it leads to capital surcharges, bucketing should be consistent, irrespective of methodology. Instead, discrepancies in the allocation between buckets emerge and this suggests the complementary use of other methodologies.

scholarly journals France

2019 ◽  
Vol 19 (327) ◽  
Author(s):  
Keyword(s):  
Systemic Risk ◽  
Capital Requirement ◽  
Macroprudential Policy ◽  
Coverage Ratio ◽  
European Institutions ◽  
The Eu

Macroprudential policy in France is the joint responsibility with several European institutions. With the operationalization of the EU Capital Requirement Directive and Capital Requirement Regulation (CRD/CRR), the French authorities have implemented, several capital buffers, as well as the liquidity coverage ratio (LCR), based on this framework. In France, Haut conseil de stabilité financière (HCSF) is the macroprudential authority established in accordance with recommendation European Systemic Risk Board (ESRB)/2011/13 and the designated authority established in accordance with Article 136 of CRD and is in charge of activating several measures in the CRD/CRR framework as well has direct responsibilities over several tools outside this framework, for example borrower-based tools.

scholarly journals Education Support Worker's Perspectives on Their Work with Children with Disabilities in New Zealand Kindergarten Settings

2021 ◽  
Author(s):  
◽  
Pamela Jean Backhouse
Keyword(s):  
Early Childhood ◽  
New Zealand ◽  
Students With Disabilities ◽  
Quantitative Research ◽  
Children With Disabilities ◽  
Policy Implications ◽  
Self Report ◽  
Future Research ◽  
Wide Range ◽  
Education Support

<p>International literature has focused on paraprofessionals working with students with disabilities in schools and similarly there is some investigative research on teacher aides working with children with disabilities in New Zealand schools. However there is little enquiry into Education Support Workers (ESWs) perspectives of working with children with disabilities in New Zealand Early Childhood Education settings. This study is intended to contribute to addressing this important gap in the literature. ESWs are allocated as primary supports for children with disabilities who need extra learning support and require intervention. This qualitative and quantitative research study is positioned within a sociocultural framework of the Te Whāriki (1996) Early Childhood curriculum which promotes inclusive practices for all children. One-hundred and three ESW respondents from the kindergarten sector completed and returned a questionnaire. Data collection included the role and proximity of an ESW, the child’s interactions with others, and the ESW’s relationship with the child with disabilities. The results revealed ESWs have a wide range of roles and responsibilities in their work with children with disabilities. They work in collaboration with teachers in determining their work with a child and integrate a child into the environment. The development of social skills and involving everyone in the child’s learning was a top priority. Also included was the building of relationships between the child, peers, teachers, and parents. In this study ESWs used a combination of positions such as working alongside, hovering, opposite, and behind and at the same time the child primarily interacted with the ESW, teachers, and peers. Even though there were some ESWs who worked exclusively with a child, the child still interacted in combination with the ESW, teachers, and peers. This result showed inclusion of others irrespective of the ESW’s close proximity. The ESW’s relationship with a child was reported as warm, caring, and positive and also described as very close, perhaps due to the nature of support for some children. This study explored ESWs’ perspectives on their work with children with disabilities and used self report. Theoretical and policy implications are discussed in the context of the ECE curriculum. Although some insight has been generated by ESWs’ participation in this study, there is still an urgent need for future research to ensure Ministry of Education policy and practice line up for children with disabilities and their families, in order for them to receive an equitable fair education as valued members of our community.</p>

scholarly journals Self-Employment in New Zealand

1970 ◽  
Author(s):  
Richard Bururu
Keyword(s):  
New Zealand ◽  
Regional Differences ◽  
Census Data ◽  
Labour Force ◽  
Positive Influence ◽  
Policy Implications ◽  
Future Research ◽  
Pull Factors ◽  
Time Series Regression ◽  
Self Employment

This paper provides a preliminary analysis of self-employment in New Zealand. Using census data from Supennap3 and HLFS data, we find that self-employment is growing with an increased proportion of the labour force being self-employed now than in 1986. This growth is however quite modest. Pull factors attracting people to self-employment appear to be stronger than push factors whereby people enter self-employment because of lack of alternative opportunities. However, results are not definitive. A possible causal relationship between self-employment and unemployment is explored using a time-series regression model. Results suggest a negative and significant relationship between self-employment and lagged unemployment rate. We also observe a weak but positive influence of the ECA, tax and intellectual property rights reforms on self-employment. There are regional differences in regard to factors that could be influencing individuals' decisions to enter into self-employment. While pull factors may explain entry into self-employment for Tasman, Marlborough, Southland and West Coast regions, unemployment appears to be a strong factor for Northland, Taranaki, Waikato, and the Bay of Plenty. The analysis also looks at self-employment by occupation, qualifications, income, industry, age, gender and ethnicity. The paper concludes by mentioning policy implications and suggesting future research.

Systemic risk in ASEAN-6: a new empirical investigation

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Trung Hai Le
Keyword(s):  
Empirical Evidence ◽  
Systemic Risk ◽  
Business Models ◽  
Financial Integration ◽  
Global Financial Crisis ◽  
Macroprudential Policy ◽  
Content Type ◽  
Risk Dynamics ◽  
Asean Countries ◽  
Book Values

PurposeThe authors provide a comprehensive study on systemic risk of the banking sectors in the ASEAN-6 countries. In particular, they investigate the systemic risk dynamics and determinants of 49 listed banks in the region over the 2000–2018 period.Design/methodology/approachThe authors employ the market-based SRISK measure of Brownlees and Engle (2017) to investigate the systemic risk of the ASEAN-6's banking sectors.FindingsThe authors find that the regional systemic risk fluctuates significantly and currently at par or higher level than that of the recent global financial crisis. Systemic risk is generally associated with banks that have bigger size, more traditional business models, lower quality in their loan portfolios, less profitable and with lower market-to-book values. However, these relationships vary significantly between ASEAN countries.Research limitations/implicationsThe research focuses on the systemic risk of ASEAN-6 countries. Therefore, the research results may lack generalizability to other countries.Practical implicationsThe authors’ empirical evidence advocates the use of capital surcharges on the systemically important financial institutions. Although the region has been pushing to higher financial integration in recent years, the authors encourage the regional regulators to account for the idiosyncratic characteristics of their banking sectors in designing effective macroprudential policy to contain systemic risk.Originality/valueThis paper provides the first study on the systemic risk of the ASEAN-6 region. The empirical evidence on the drivers of systemic risk would be of interest to the regional regulators.

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