Not everyone lost in the bust: after all, sellers of real estate in the boom period had a gain to fall back on when the downturn came. The first extensive household wealth survey for Ireland in over a quarter century was carried out during 2013 for the Central Bank of Ireland.
And in some sectors, as lenders seek protection against perceived downside risks, it is probably going further than is necessary to foster financial stability in the long run. But we will end up with a safer, more robust financial system. For banks, a safer and more robust financial system will be characterized by improved risk management that incorporates the lessons from the recent turmoil.