During the global financial crisis integrated markets and financial institutions operating across borders clashed with supervisory and regulatory architectures that remained largely nation bound. This spurred a debate on the costs and benefits of more internationally integrated and coordinated prudential policies. This paper presents theoretical explorations of the policy and governance challenges associated with forming and running a regulatory and supervisory union when national prudential authorities have different objective functions.
Giovanni Dell’Ariccia
Giovanni Dell'Ariccia is Deputy Director of the Research Department where he supervises the activities of the Macro-Financial Division. Previously he worked in the Asia and Pacific Department. His research interests include: Banking; the Macroeconomics of Credit; Monetary Policy; International Finance; and Conditionality in International Lending and Aid Programs. He is a CEPR Research Fellow.