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Modelling Financial Instability: A Survey of the Literature

  • Alexandra Lai

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Paper provided by Bank of Canada in its series Working Papers with number 02-12.

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Length: 50 pages Abstract: The magnitude and frequency of recent financial crises underscore the importance of understanding financial instability for the purpose of crisis prevention and crisis management. This paper brings together and adds structure to the theoretical literature on financial instability and the implications they carry for policy-makers. In addition to clarifying the theoretical underpinnings for studying financial crises, it points to several directions for future theoretical research necessary to fill the gaps of our understanding of financial instability.
Date of creation: 2002
Date of revision:
Handle: RePEc:bca:bocawp:02-12
Contact details of provider: Postal: 234 Wellington Street, Ottawa, Ontario, K1A 0G9, Canada
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Web page: http://www.bank-banque-canada.ca/

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