Both the European Union and the United States of America have established new bodies whose task it is to identify early emerging systemic financial risks and to consider policy measures that could mitigate them. These are the European Systemic Risk Board and the Financial Stability Oversight Council, respectively. 4.
One pre-condition for matching the expectations to this new era is that the competent authorities possess a comprehensive and reliable analytical apparatus for identifying systemic risks and for assessing the effectiveness and efficiency of policies that could contain them.