Latin America and the Global CrisisJosé De.pptVIP

Latin America and the Global CrisisJosé De GregorioGovernorCentral Bank of Chile Outline Crisis’s Origins: Financial Regulation or Monetary Policy? Inflation Developments GDP Response and Prospects Crisis’s Origins: Financial Regulation or Monetary Policy? Chile’s MPR and US’s Fed Funds(percentage) House Prices (nominal index; 2001.Q1=100) Issues on Financial Regulation and Innovation Financial stability is insured by proper regulation and to a lesser extent by monetary policy. Low interest rates and abundant liquidity are necessary but not sufficient to generate financial instabil