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The making of a cyber crash: a conceptual model for systemic risk in the financial sector


  • Ros, Greg


In October 2017, the European Systemic Risk Board (ESRB) set up a group whose objective was to examine cyber security vulnerabilities within the financial sector, and their potential impact on financial stability and the real economy. In its first year, the European Systemic Cyber Group (ESCG) sought to develop a shared understanding of Common Individual Vulnerabilities (CIVs) across ESRB members, and to identify the unique characteristics of cyber risk that could contribute to a systemic event. Building on this work, this paper describes a conceptual model for systemic cyber risk. JEL Classification: E17, G01, G20, K24, L86, M15, O33

Suggested Citation

  • Ros, Greg, 2020. "The making of a cyber crash: a conceptual model for systemic risk in the financial sector," ESRB Occasional Paper Series 16, European Systemic Risk Board.
  • Handle: RePEc:srk:srkops:202016

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    References listed on IDEAS

    1. Miguel A. Segoviano & Chikako Baba & Mr. Heedon Kang & Ron Anderson & Jon Danielsson & Mr. Udaibir S Das, 2018. "Macroprudential Stress Tests and Policies: Searching for Robust and Implementable Frameworks," IMF Working Papers 2018/197, International Monetary Fund.
    2. Larry Eisenberg & Thomas H. Noe, 2001. "Systemic Risk in Financial Systems," Management Science, INFORMS, vol. 47(2), pages 236-249, February.
    3. Gai, Prasanna, 2013. "Systemic Risk: The Dynamics of Modern Financial Systems," OUP Catalogue, Oxford University Press, number 9780199544493.
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    More about this item

    JEL classification:

    • E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation: Models and Applications
    • G01 - Financial Economics - - General - - - Financial Crises
    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • K24 - Law and Economics - - Regulation and Business Law - - - Cyber Law
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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