Editors: Masahiro Kawai and Eswar S. Prasad

December 2012

The global financial crisis has necessitated a sweeping reevaluation of frameworks for financial market regulation and macroeconomic policies. Some progress has been made on strengthening these frameworks, both at the national and international levels, but there are still numerous challenges in developing an analytical framework to guide these changes in a manner that promotes financial stability.

This book provides some refreshing new perspectives on the desired contours of financial sector and macroeconomic policies as well as the interactions between these policies. It also provides some practical ideas on how to resolve the apparent tensions between financial stability on the one hand and, on the other hand, development and broadening of access to the financial system.

The contributors include leading academics as well as senior central banking officials on the frontlines of policymaking, mostly from emerging market economies. The chapters in this volume provide guidance about pitfalls to be avoided, general principles that should guide the creation of sound regulatory systems, and valuable analytical perspectives about how to promote financial market development while maintaining financial and macroeconomic stability.

Table of Contents, Overview (348k pdf)

More information at Brookings Institution Press.

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