Nordic Economic Policy Review 2020: Financial Regulation and Macroeconomic Stability

In the early 2000s, it was widely believed that the world economy had entered a period of larger macroeconomic stability, the Great Moderation. But the global financial crisis in 2007-09, the subsequent Great Recession and the euro crisis provided a vivid illustration of how vulnerable today’s economies are to disturbances in financial markets. As a response, financial regulation and supervision have been strengthened worldwide.

This seminar on Financial Regulation and Macroeconomic Stability in the Nordics discusses how stable our financial markets are today and choices that Nordic policymakers in the fields of monetary and financial policy have to make. Leading Nordic academics present analyses of these issues that are to be published in the Nordic Economic Policy Review. The analyses will be commented by both academic experts and practitioners from central banks, ministries of finance and financial markets.

The seminar will address questions like:

  • How great are the risks of new financial shocks in the world economy?
  • How resilient is the Nordic financial sector against such shocks?
  • To what extent should monetary policy take credit growth and rising real estate prices into account?
  • How stringent macroprudential rules are needed to limit household debt?
  • Will EU bail-in rules help mitigate or will they exacerbate financial crises if they arise?
  • Which are the pros and cons of membership in the EU’s banking union?

Time and date: 10.00 – 17.00, 12 December 2019 (Note! The starting time has been changed!)
Venue: Mariankatu 9 /Mariegatan 9, Helsinki, Ministry of Finance
Organiser: Finnish Ministry of Finance, Nordregio and the Nordic Council of Ministers for Finance
For whom: Policymakers, politicians, academics, statisticians, banking sector and others working with relevant topics

The seminar is public but requires registration:


 Introduction by Lars Calmfors, Stockholm University and Research Institute of Industrial Economics

Opening and welcome by Erkki Liikanen, former Head of Bank of Finland

Paper sessions

How stable is the Nordic financial sector today?  Jesper Rangvid, Copenhagen Business School

Discussants: Anneli Tuominen, Finnish Financial Supervisory Authority, and Peter Englund, Professor Emeritus in economics from Stockholm School of Economics.

Monetary policy and household debt, Gisle James Natvik, Norwegian Business School and Magnus Gulbrandsen, Norwegian Business School

Discussants: David Vestin, Sveriges Riksbank, and Karsten Gerdrup, Norges Bank

Macroprudential regulation and household debt, Lars E O Svensson, Stockholm School of Economics

Discussants: Niels Lynggård Hansen, Copenhagen Business School, and Bryndís Ásbjarnardóttir, Icelandic Financial Supervisory Authority

EU’s bail-in rules, Vesa Vihriälä, University of Helsinki, Esa Jokivuolle, Bank of Finland, Kimmo Virolainen, Bank of Finland, and Hanna Westman, Financial Stability Authority

Discussants: Per Holmbäck, Swedish National Debt Office and Kim Ristolainen, Turku School of Economics

Pros and cons of taking part in the banking union, Karolina Ekholm, Stockholm University

Discussants: Svend Erik Hougaard Jensen, Copenhagen Business School, and Tuomas Saarenheimo, Finnish Ministry of Finance

Can we avoid financial crises in the future? Panel discussion

Panelists: Karolina Ekholm, Professor in economics at Stockholm University and former Deputy Governor of Sveriges Riksbank; Tuomas Saarenheimo, Permanent Under-Secretary Ministry of Finance, Finland; Katja Taipalus, Head of Financial Stability and Statistics, Bank of Finland; and Björn Wahlroos, Chair Sampo Group.

Moderators: Lars Calmfors, Professor Emeritus, Stockholm University and Research Institute of Industrial Economics, and Peter Englund, Professor Emeritus in economics from Stockholm School of Economics

The presentations can be viewed by clicking on the title or the names of the discussants.