콘텐츠 바로가기
로그인
컨텐츠

Category Open

Resources

tutorial

Collection of research papers and materials on development issues

home

Resources
Economy General

Print

Managing Non-core Liabilities and Leverage of the Banking System: A Building Block for Macroprudential Policy Making in Korea

Related Document
Frame of Image
  • Managing Non-core Liabilities and Leverage of the Banking System: A Building Block for Macroprudential Policy Making in Korea
  • Alichi, Ali; Ryoo, Sang Chul; Hong, Cheol
  • International Monetary Fund (IMF)


link
Title Managing Non-core Liabilities and Leverage of the Banking System: A Building Block for Macroprudential Policy Making in Korea
Similar Titles
Material Type Reports
Author(English)

Alichi, Ali; Ryoo, Sang Chul; Hong, Cheol

Publisher

International Monetary Fund (IMF)

Date 2012
Pages 19
Language English
File Type Link
Subject Economy < General

Abstract

Korea has been active in implementing targeted macroprudential policies to address specific financial stability concerns. In this paper, we develop a conceptual model that could serve as a building block for the broader framework of macroprudential policy making in Korea. It is assumed that the policy maker imposes taxes on key aggregate financial ratios in the banking system to mitigate excessive leverage over the economic cycle. The model is calibrated for Korea. The results illustrate how countercyclical tools, such as simple taxes on key financial ratios, could be incorporated to enrich the broader macroprudential policy framework in the Korean context.