Macro policies after the crisis, Wellington

On 12-13 December 2011, the Reserve Bank of New Zealand hosted a conference on "Macro policies after the crisis". The objective of the conference was to draw together theoretical and empirical work on the factors motivating new policies, the effective use of existing and potential policy instruments, and the interaction among policies.

Topics of interest include, but were not limited to:

  • Externalities and efficient policy responses
  • Credit booms and deleveraging
  • The roles of debt and financial intermediation in macroeconomic fluctuations
  • Macroeconomic effects of new and proposed macro-prudential policies
  • Interactions among monetary, fiscal and macro-prudential policies
  • Interactions between financial imbalances and fiscal balance sheets
  • Related governance and communication issues.

Keynote speakers

Enrique Mendoza (Maryland)
Bruce Preston (Columbia/CAMA)

Organising committee

Rebecca Craigie
Prasanna Gai (University of Auckland Business School)
Nicolas Groshenny
Anella Munro
Christie Smith

Any queries should be directed to conference2011@rbnz.govt.nz.

Programme day 1

Date: Monday 12 December 2011
Location: Reserve Bank of New Zealand

8.15am

Registration and tea/coffee



8.45am

Welcome and opening

Alan Bollard



Session 1

In the beginning there was housing...

Chair: Christie Smith (Reserve Bank of New Zealand)



9.00am

Housing finance and financial stability

Veronica Warnock (Darden Graduate School of Business, University of Virginia)



9.30am

Discussant: Andrew Coleman (University of Otago and MOTU)

General discussion



9.50am

Leaning against boom-bust cycles in credit and housing prices (PDF 260KB)

Maria Teresa Punzi (University of Nottingham)



10.20am

Discussant: Christopher Otrok (University of Missouri)

General discussion



10.40am

Morning tea



Session 2

Chair: Anella Munro (Reserve Bank of New Zealand)



11.10am

Keynote speech

Financial innovation, the discovery of risk and macro-prudential policy (PDF 424MB)

Enrique Mendoza (University of Maryland)



12.10pm

General discussion



12.30pm

Lunch



Session 3

Contagion and credit quality

Chair: Enzo Cassino (Reserve Bank of New Zealand)



1.30pm

The effect of the interbank network structure on contagion and common shocks (PDF 571KB)

Co-Pierre Georg (University Carlos III Madrid)



2.00pm

Discussant: Christie Smith (Reserve Bank of New Zealand)

General discussion



2.20pm

Endogenous credit ratings (PDF 386KB)

José Jorge (University of Porto)



2.50pm

Discussant: David Mayes (University of Auckland)

General discussion



3.10pm

Afternoon tea



Session 4

Imbalances in multi-country models

Chair: Jonathan Kearns (Reserve Bank of Australia)



3.40pm

Monetary and macro-prudential policy in an estimated DSGE model of the euro area (PDF 497KB)

Dominic Quint (Free University of Berlin)



4.10pm

Discussant: Stephen Murchison (Bank of Canada)

General discussion



4.30pm

A three-country intertemporal model of global imbalances in a deleveraging world (PDF 427KB)

David Vines (University of Oxford and CAMA)



5.00pm

Discussant: Frank Warnock (Darden Graduate School of Business, University of Virginia)

General discussion



5.20pm

Finish



6.30pm

Drinks



7.30pm

Conference dinner

Programme day 2

Date: Tuesday 13 December 2011
Location: Reserve Bank of New Zealand

8.45am

Tea/coffee



Session 5

International financial markets and small open economies

Chair: David Hargreaves (Reserve Bank of New Zealand)



9.00am

Business cycles and financial intermediation in emerging economies (PDF 896KB)

Christoph Große Steffen (The German Institute for Economic Research)



9.30am

Discussant: Jonathan Kearns (Reserve Bank of Australia)

General discussion





9.50am

The macroeconomic effects of a stable funding ratio (PDF 849KB) Anella Munro (Reserve Bank of New Zealand)



10.20am

Discussant: Maria Teresa Punzi (University of Nottingham)

General discussion



10.40am

Morning Tea



Session 6

Chair: Nicolas Groshenny (Reserve Bank of New Zealand)



11.10am

Keynote speech

Monetary and Fiscal Policy under Imperfect Knowledge

Bruce Preston (Columbia University and Australian National University)



12.10pm

General discussion



12.30pm

Lunch



Session 7

Occasionally binding constraints

Chair: Debasis Bandyopadhyay (University of Auckland)



1.30pm

Financial crisis and macro-prudential policies (PDF 787KB) Chris Otrok (University of Missouri)



2.00pm

Discussant: Enrique Mendoza (University of Maryland)

General discussion



2.20pm

Modifying Gaussian term structure models when interest rates are near the zero lower bound (PDF 389KB)

Leo Krippner (Reserve Bank of New Zealand)




Discussant: Toby Daglish, Victoria University of Wellington

General discussion



3.10pm

Afternoon tea



Session 8

Exit strategy

Chair: John McDermott (Assistant Governor and Head and Economics, RBNZ)



3.40pm

Exits from recessions: The U.S. experience 1920-2011 (PDF 548KB) John Landon-Lane (Rutgers University)



4.10pm

Discussant: Michael Reddell (Reserve Bank of New Zealand)

General discussion



4.30pm

Concluding remarks



4.40pm

Finish



5.00pm

Drinks and MONIAC Demonstration

Reserve Bank Museum, Ground Floor



6.30pm

Finish