Also S. Calimani, G. Hałaj, S. Zochowski, “Simulating fire-sales in a banking and shadow banking system,” ESRB Working Paper Series 46, 2017. 14  to wane during good times. Consideration of these issues should not be procrastinated until the next crisis.
Central banks play a key role in macroprudential policy because their mandate includes in one way or another a macroeconomic and financial stability perspective. They also have access to timely information as a result of monetary policy implementation. Finally, they have the unique ability to provide liquidity through banks.