In the aftermath of the financial crisis in 2008, BCBS published Guidance for national authorities operating countercyclical capital buffer (CCCB) to propose a framework for dampening excess cyclicality of minimum regulatory capital requirements with the aim of maintaining the flow of credit from banks to the real sector in economic downturns with the capital accumulated in good times.
The adjustment in capital goods ordering and production has been relatively rapid in this cycle and modern high tech capital goods are relatively short-lived--being depreciated in many cases in three years or less as opposed to the seven years or more that characterizes many types of traditional capital equipment.