6  BIS central bankers’ speeches  evidence seems clear to me that, along some dimensions, they are not – we as lawyers should be working on ways to improve them.
Microprudential supervision might be thought of as the management of the first type of risk, and macro the second. But while that distinction is conceptually clear, I think it would be overly simplistic to try to build a supervisory structure around it in practice. Certainly in Australia we don’t try to do so.