Monetary and macroprudential policies

We use a dynamic general equilibrium model featuring a banking sector to assess the interaction between macroprudential policy and monetary policy. We find that in "normal" times (when the economic cycle is driven by supply shocks) macroprudential policy generates only modest benefits for macroeconomic stability over a "monetary-policy-only" world. And lack of cooperation between the macroprudential authority and the central bank may even result in conflicting policies, hence suboptimal results. The benefits of introducing macroprudential policy tend to be sizeable when financial or housing market shocks, which affect the supply of loans, are important drivers of economic dynamics. In these cases a cooperative central bank will "lend a hand" to the macroprudential authority, working for broader objectives than just price stability in order to improve overall economic stability.macroprudential policy, monetary policy, capital requirements

Excitation device for high frequency vibration analysis: Design and test results

In the present paper, the design and optimization of a high frequency excitation source is presented. The device was developed for a harmonic response analysis test bench, aimed at dynamic characterization and resonance prediction of mechanical structures. A wide frequency range must be covered, depending on the analyzed structure: the range 1–10 kHz was considered in the present work. The device was designed for a test bench aimed at investigating the vibrational response of centrifugal compressor bladed wheels. A really compact solution was needed since the final test bench provides one exciter for each blade (up to 20 devices on the circumference hoop). Both contact and contactless solutions were considered, but only the contact solution was found to fulfill all the specifications. Finally, different stinger solutions were proposed and compared in the paper. The investigated solutions were: a beam stinger (diameter 1 mm); a wire stinger (diameter 0.2 mm); and a ball stinger (diameter 3 mm) with two different support solutions. Experimental tests performed on a device prototype allowed to verify the specifications fulfillment and to choose the best stinger solution for the application

A Framework for Differential Frame-Based Matching Algorithms in Input-Queued Switches

This article is made available under terms and conditions applicable to Open Access Policy Articl

A model for the transition to the circular economy

The relevanceof circular economy has significantly grown in the last years, thanks to the spread of sustainability principles among companies, policy makers and practitioners.The European Union has given an important impulsetothe dissemination of circular economyin business practice, with the introduction of the Regulation on taxonomy for sustainable activities. It is a regulation for the classification of sustainable economic activities, aimed at creating a common language for investors, which favoursventures that have a significant positive impact on the climate and the environment. Starting from the theoretical backgroundoffered by the so-called “R”Framework, the paper attempts to close the gap between scholarsand practitioners,providingreal cases of implementation of circular economy.Since there is no European database of circular economy interventions, the proposed cases have been selected according to their degree of innovation, their potential impact on the environment or their real possibility of implementation by companies

Pro-cyclicality of capital regulation: is it a problem? How to fix it?

We use a macroeconomic euro area model with a bank sector to study the pro-cyclical effect of the capital regulation, focusing on the extra pro-cyclicality induced by Basel II over Basel I. Our results suggest that this incremental effect is modest. We also find that regulators could offset the extra pro-cyclicality by a countercyclical capital-requirements policy. Our results also suggest that banks may have incentives to accumulate countercyclical capital buffers, making this policy less relevant, but this finding is depends on the type of economic shock posited. We also survey different policy options for dealing with procyclicality and discuss the pros and cons of the measures available.Basel accord, pro-cyclicality