All of these issues raise complex questions of design and implementation. Interesting parallels may be drawn, however, between the design issues we face in macroprudential policy and those we have grappled with in conducting monetary policy.
These parallels include the appropriate roles of rules versus discretion, the need for policies that are robust in addressing uncertainty, and the assignment problem, all of which I will discuss later. The fertile field of monetary policy research may therefore offer lessons that can fruitfully be applied to managing systemic risk.