Kohn: Challenges in implementing macroprudential policies (Brendan Mochoruk, David Wessel, Brookings)

In the aftermath of the global financial crisis, macroprudential policy tools have received much attention, but central bankers have relatively little experience implementing these policies in highly developed markets, and challenges remain. In a recent speech at the European Central Bank, Donald Kohn, the Robert S. Kerr Senior Fellow in Economic Studies at Brookings and former vice chair of the Federal Reserve Board, discussed four challenges faced by the Bank of England’s Financial Policy Committee—of which he is a member—in designing and implementing macroprudential policies.

http://www.brookings.edu/blogs/up-front/posts/2016/05/06-kohn-challenges-in-implementing-macroprudential-policies