1/5  BIS central bankers' speeches  2. Macroprudential stress test to gauge the magnitude of the risks stemming from the non-bank financial sector So the questions arise: how to appropriately measure these risks and how to derive policy instruments that are effective in mitigating these risks?
16  For examples of studies that emphasize bank capital as a constraint on financial intermediation, see Césaire A. Meh and Kevin Moran (2008), "The Role of Bank Capital in the Propagation of Shocks ," Bank of Canada Working Paper 2008-36 (Ottawa, Ontario, Canada: Bank of Canada, October); and Mark Gertler and Peter Karadi (2009), "A Model of Unconventional Monetary Policy," manuscript, New York University, June.