@inbook{703644b8d33c459da1ab0acc95b07205,
title = "Macroeconomic and Financial Volatility and Macroprudential Policies in Chile",
abstract = "This note discusses the elements of prudential financial policies and supervisory practices in Chile that can be considered macroprudential. While showing similar macroeconomic volatility as that of the median of emerging market economies (EMEs), financial volatility, at least in two of the metrics discussed in this note, is noticeably lower in Chile than in other EMEs. We argue that this is due to the lessons learned from the severe banking crisis of the early 1980s, which resulted in the adoption of regulations and supervision practices incorporating elements highly sensitive to macro factors. From the viewpoint of the central bank, two of its policy elements can be labelled macroprudential: first, a coherent monetary policy framework featuring a flexible exchange rate regime, which has helped to protect the financial sector from external shocks; and second, the monitoring of aggregate systemic financial risks, which are communicated to the Financial Stability Council and to the public at large via the Financial Stability Report. Full Publication: Macroprudential Frameworks, Implementation and Relationship with Other Policies",
keywords = "financial stability, macroeconomic volatility, macroprudential regulation",
author = "Rodrigo Cifuentes and Sebastian Claro and Alejandro Jara",
year = "2017",
language = "American English",
isbn = "978-92-9259-113-7",
volume = "94",
series = "BIS Paper",
publisher = "Bank for International Settlements",
number = "94g",
pages = "87--98",
booktitle = "Macroprudential frameworks, implementation and relationship with other policies",
address = "Switzerland",
}