These risks may warrant sector-specific policy action. Further reflections are also needed to develop an adequate macroprudential toolkit for this important and growing part of the financial system. The road to recovery Allow me to conclude with a few words on the road ahead, namely on the policy action that will be needed during the recovery.
On the relationship between expected earnings and investment, see Gennaioli, N., Yueran, M., and A. Shleifer (2015), “Expectations and Investment.” NBER Macroeconomics Annual 2015. 8  See Bacchiocchi, E., E. Borghi and A. Missale (2011), “Public Investment under Fiscal Constraints”. Fiscal Studies 32(1), pp. 11–42.