This is a photo of conference participants.

Achieving Sustainable Financial Stability Conference

October 1–2, 2014 at ESMT, Berlin campus

This conference was organized by the Deutsche Bundesbank, the German Institute for Economic Research (DIW Berlin), ESMT European School of Management and Technology, and the Center for Financial Studies and was designed to provide a forum for debate on how to achieve sustainable financial stability. The discussion focused on the long-term effects of changing economic conditions, additional regulatory requirements and new macro prudential policies on the financial system.

Vertical Tabs

Tentative program

Tentative program

Conference:
Achieving Sustainable Financial Stability

  
Altogether 11 slots are available. The presenter has 20 minutes, the discussant 15 minutes and 10 minutes are reserved for general discussion.

Download: Tentative program  


Wednesday, October 1, 2014

8:30–9:00Registration
 
9:00–9:20

Welcome Address
Jörg Rochcoll (European School of Management and Technology, ESMT)

Opening Remarks
Marcel Fratzscher (Deutsches Institut für Wirtschaftsforschung, DIW Berlin)
Thilo Liebig (Deutsche Bundesbank)

 

Session 1

The Role of Banks and States in Achieving Sustainable Financial Stability
Chair: Thilo Liebig (Deutsche Bundesbank)

9:20–10:05Zero Risk Contagion - Banks' Sovereign Exposure and Sovereign Risk Spillovers
Josef Korte (Johann Wolfgang von Goethe University Frankfurt) and Sascha Steffen
Discussant: Yalin Gündüz (Deutsche Bundesbank)
10:05–10:50Economic Stability under Alternative Banking Systems: The Case for 100 Percent Reserve Banking
Robert Krainer (University of Wisconsin)
Discussant: Uwe Vollmer (University of Leipzig)

10:50–11:15

Coffee Break
 
 

Session 2

The Importance of Networks for Achieving Sustainable Financial Stability (SFS)
Chair: Christopher F. Baum (Boston College)

11:15–12:00Bank Networks: Contagion, Systemic Risk and Prudential Policy
Inaki Aldasoro (Johann Wolfgang von Goethe University Frankfurt), Domenico Delli Gatti, and Ester Faia
Discussant: Christoph Roling (Deutsche Bundesbank)
12:00–12:45A Network View on Money Market Freezes
Co-Pierre Georg (University of Cape Town) and Silvia Gabrieli
Discussant: Christoffer Kok (European Central Bank)

12:45–14:00

Lunch Break
 
14:00–15:00Keynote Speech
On Banks and Markets after the Crisis
Jan P. Krahnen (Center for Financial Studies)

15:00–15:15

Coffee Break
 
 

Session 3

Uncertainty, expectations and SFS
Chair: Jörg Rochcoll (European School of Management and Technology, ESMT)

15:15–16:00Uncertainty and International Banking
Manuel Buchholz (Institut für Wirtschaftsforschung Halle), Claudia Buch and Lena Tonzer
Discussant: Christian Dreger (DIW Berlin)
16:00–16:45

Hope Dies Last: The Effect of Bailout Expectations on Banking Market Competition and Risk-Taking
Thomas Kick (Deutsche Bundesbank) and Thomas Kötter
Discussant: Henri Fraisse (Banque de France)


19:00–22:30


Conference Dinner
Dinner Speech: Andreas Dombret (Deutsche Bundesbank)

     
Thursday, October 2, 2014

 

Session 4

The Importance of Insurance and Moral Hazard for Achieving SFS
Chair: Andreas Stephan (Jönköping International Business School)

9:00–9:45Bail-Ins: Does Assigning Priority to Deposits Affect Bank Conduct?
Klaus Schaeck (Bangor University), Pietr Danisewicz, Danny McGowan, and Enrico Onali
Discussant: Martin Götz (SAFE-Johann Wolfgang v. Goethe University Frankfurt)
9:45–10:30How do Insured Deposits Affect Bank Risk? Evidence from the 2008 Emergency Economic Stabilization Act
Claudia Lambert (Deutsches Institut für Wirtschaftsforschung, DIW Berlin), Felix Noth and Ulrich Schüwer
Discussant: Andrea Schertler (Leuphana University of Lüneburg)

10:30–11:00

Coffee Break
 
 

Session 5

The Role of Bank Business Models in Achieving SFS
Chair: Hans Helmut Kotz (Center for Financial Studies) and Dorothea Schäfer (Deutsches Institut für Wirtschaftsforschung, DIW Berlin)

11:00–11:45Are Banks Less Likely to Issue Equity When They Are Less Capitalized?
Valeriya Dinger (University of Osnabrueck) and Francesco Valascas
Discussant: N.N.
11:45–12:30Quantifying the components of the banks' net interest margin
Christoph Memmel (Deutsche Bundesbank) and Ramona Busch
Discussant: Helmut Elsinger (Österreichische Nationalbank)

12:30–14:00

Lunch Break
 
14:00–14:45The Political Economy of Bank Bailouts
Rainer Haselmann (University of Bonn), Markus Behn, Thomas, Kick, and Vikrant Vig
Discussant: Gyöngyi Lóránth (University of Vienna)

14:45–15:00

Coffee Break
 
15:00–16:30Policy Panel
The European Banking Union – How Will it Contribute to Financial Stability in Europe
Moderation: Marcel Fratzscher (Deutsches Institut für Wirtschaftsforschung, DIW Berlin)
Panelists: N.N

16:30–16:33

Closing Remarks and Farewell
Dorothea Schäfer (Deutsches Institut für Wirtschaftsforschung, DIW Berlin)
 
 
End of Conference
 

 

Keynote speakers
Expert panel
Call for papers

Call for papers

Achieving Sustainable Financial Stability

While still struggling with the financial and sovereign debt crisis, the financial markets, the real economy and governments seem to be experiencing slightly less tension. The discussion can now be shifted from imminent crisis management to longer-term financial stability considerations. Banks and other financial intermediaries have to make adjustments to their business models which allow them to be sustainably profitable without taking too much risk and irrespective of the economic environment. The regulatory requirements need to be in line with proper incentives, and macro prudential tools have to be implemented sensibly.

This conference is designed to provide a forum for debate on how to achieve sustainable financial stability. The discussion will focus on the long-term effects of changing economic conditions, additional regulatory requirements and new macro prudential policies on the financial system.

The dinner speech will be held by Andreas Dombret (Deutsche Bundesbank). The keynote speaker will be Jan Pieter Krahnen (Center for Financial Studies, Frankfurt). The conference will also feature a high-ranking policy panel.

We would like to invite you to participate in the conference and submit theoretical and empirical papers on topics including:

Sustainable business models of financial intermediaries

  • Competition and financial stability
  • Risk-adjusted profitability of banks and insurance companies
  • Banks’ market entrance and exit
  • Low-interest-rate environment and profitability
  • Cross-country financial intermediation and capital flows

Long-term implications of the regulatory and macro prudential requirements

  • Too-big-to-fail problem
  • Implementation of macro prudential policies
  • Effects of higher capital and liquidity requirements in banking and insurance on the real economy
  • Indirect effects on less regulated or unregulated financial intermediaries (shadow banks)

Submission and notification

The deadline for submission is June 20. Papers should be submitted by e-mail to conferences@bundesbank.de together with your affiliations and e-mail address.
Acceptance decisions will be made by July 31.

Expert panel:

Download

Call for papers