Political realities, particularly but not exclusively in the United States, make this a non-starter for the foreseeable future. 6  BIS Review 71/2004  There are particular impediments to prudential authorities behaving as suggested above. First, and perhaps most important, they do not have a macroprudential culture.
It is a big leap for supervisors, in large part lawyers and accountants by training, and used to evaluating the health of single institutions, to think systemically. Shocking systems of simultaneous equations to see the effects on market clearing conditions is not their natural pastime.