A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies
This paper attempts to define, construct a policy framework, and analyze interactions with monetary policy of macroprudential policy. The available pieces of evidence suggest that the effects of the LTV and DTI regulations for financial stability are rather unclear in Korea. It also shows that when...
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| Format: | Article |
| Language: | English |
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Korea Development Institute
2012-03-01
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| Series: | KDI Journal of Economic Policy |
| Subjects: | |
| Online Access: | https://doi.org/10.23895/kdijep.2012.34.1.1 |
| _version_ | 1818146838172139520 |
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| author | Park, Yung Chul |
| author_facet | Park, Yung Chul |
| author_sort | Park, Yung Chul |
| collection | DOAJ |
| description | This paper attempts to define, construct a policy framework, and analyze interactions with monetary policy of macroprudential policy. The available pieces of evidence suggest that the effects of the LTV and DTI regulations for financial stability are rather unclear in Korea. It also shows that when financial markets exhibit instability in a stable inflationary environment, macroprudential policy could run into conflict with monetary policy. This paper proposes an appropriate modality of macroprudential policy to minimize the potential conflict with monetary policy. |
| first_indexed | 2024-12-11T12:25:43Z |
| format | Article |
| id | doaj.art-a13b861fc5654d80a49280f45fde929d |
| institution | Directory Open Access Journal |
| issn | 2586-2995 2586-4130 |
| language | English |
| last_indexed | 2024-12-11T12:25:43Z |
| publishDate | 2012-03-01 |
| publisher | Korea Development Institute |
| record_format | Article |
| series | KDI Journal of Economic Policy |
| spelling | doaj.art-a13b861fc5654d80a49280f45fde929d2022-12-22T01:07:24ZengKorea Development InstituteKDI Journal of Economic Policy2586-29952586-41302012-03-0134112710.23895/kdijep.2012.34.1.1A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging EconomiesPark, Yung Chul0Distinguished Professor, Division of International Studies, Korea UniversityThis paper attempts to define, construct a policy framework, and analyze interactions with monetary policy of macroprudential policy. The available pieces of evidence suggest that the effects of the LTV and DTI regulations for financial stability are rather unclear in Korea. It also shows that when financial markets exhibit instability in a stable inflationary environment, macroprudential policy could run into conflict with monetary policy. This paper proposes an appropriate modality of macroprudential policy to minimize the potential conflict with monetary policy.https://doi.org/10.23895/kdijep.2012.34.1.1Macro and Microprudential Policy(거시 및 미시 건전성 감독)Procyclicality(통화신용정책)Monetary Policy(경기순응적 대출)LTVDTI |
| spellingShingle | Park, Yung Chul A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies KDI Journal of Economic Policy Macro and Microprudential Policy(거시 및 미시 건전성 감독) Procyclicality(통화신용정책) Monetary Policy(경기순응적 대출) LTV DTI |
| title | A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies |
| title_full | A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies |
| title_fullStr | A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies |
| title_full_unstemmed | A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies |
| title_short | A Macroprudential Approach to Financial Supervision and Monetary Policy in Emerging Economies |
| title_sort | macroprudential approach to financial supervision and monetary policy in emerging economies |
| topic | Macro and Microprudential Policy(거시 및 미시 건전성 감독) Procyclicality(통화신용정책) Monetary Policy(경기순응적 대출) LTV DTI |
| url | https://doi.org/10.23895/kdijep.2012.34.1.1 |
| work_keys_str_mv | AT parkyungchul amacroprudentialapproachtofinancialsupervisionandmonetarypolicyinemergingeconomies AT parkyungchul macroprudentialapproachtofinancialsupervisionandmonetarypolicyinemergingeconomies |