But there is still some difficulty to identify – and/or reluctance to actively develop macroprudential policies to address risks to the financial system as a whole. Effectiveness The second question is whether the regulatory reforms carried out thus far were effective.
Although the early signs of much stronger resilience in the core financial system are encouraging, it is still relatively early to judge whether this has been enough. Too-big-to-fail incentives have surely been reduced, but few would argue they have actually been eliminated. The new rules in response to the crisis were also designed in a short time frame and many reforms progressed in parallel.