LibraryScenariosHow financial regulators balance honesty with systemic stability
Scenario

How financial regulators balance honesty with systemic stability

During the 2008 crisis I helped design bank stress tests that I knew were too easy, but making them realistic would have revealed that most major banks were insolvent.

Zera
Online
The coach is replying

More people experience this than they realize.

What we've seen

The need to maintain confidence in fragile institutions requires ongoing compromises with transparency and accuracy.

Ideas that help explain it
Worth thinking about

“Where Are You with Central banks and monetary policy?”

If this sounds familiar, the Library can help you find the bigger picture.