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4th CEMLA/Dallas Fed Financial Stability Workshop

San Antonio

The Center for Latin American Monetary Studies (CEMLA) and the Federal Reserve Bank of Dallas hosted the 4th Financial Stability Workshop at the Dallas Fed's San Antonio Branch.

Monday, November 24
San Antonio
8:00 a.m. Registration
9:00 a.m. Opening session
  Enrique Martínez García, Federal Reserve Bank of Dallas
Manuel Ramos Francia, CEMLA
9:30 a.m. Session 1: Non-bank financial intermediation, market liquidity and funding fragilities
  Chair: Enrique Martínez García, Federal Reserve Bank of Dallas

Bank lending to nonbanks: A robust channel fueled by constrained capital?
Presenter: Teng Wang, University of Texas at Arlington
Co-authors: John Krainer and Farindokht Vaghefi
Discussant: Asani Sarkar, Federal Reserve Bank of New York

From banks to nonbanks: Macroprudential and monetary policy effects on corporate lending

Presenter: Bruno Albuquerque, International Monetary Fund
Co-authors: Eugenio Cerutti, Nanyu Chen and Melih Firat
Discussant: Sergio Correia, Federal Reserve Bank of Richmond
10:50 a.m. Coffee break
11:20 a.m. Keynote address
  Chair: Mark Wynne, Federal Reserve Bank of Dallas

Tracing the Sources of Fragility in the Financial System

Itay Goldstein, Wharton School, University of Pennsylvania
12:20 p.m. Lunch break
1:30 p.m. Session 2: Monetary policy and flnanclal stability: Interactions and trade-offs
  Chair: Peter Karlström, CEMLA

A macroeconomic model of banks' systemic risk taking

Presenter: Jorge Abad, Banco de España
Co-authors: David Martinez-Miera and Javier Suarez
Discussant: Lorenzo Menna, Banco de México

The effect of monetary policy on systemic bank funding stability

Presenter: Maximilian Grimm, Federal Reserve Board
Discussant: Renata Herrerías, Instituto Tecnológico Autónomo de México
2:50 p.m. Coffee break
3:20 p.m. Session 3: Global financial spillovers and the role of the U.S. dollar
  Chair: Gustavo Leyva, CEMLA

Demand propagation through traded risk factors

Presenter: Yu An, Johns Hopkins Carey Business School
Co-author: Amy W. Huber
Discussant: Jens Christensen, Federal Reserve Bank of San Francisco

Synthetic dollar funding

Presenter: Umang Khetan, University of Iowa
Discussant: Maximiliano San Millán, Banco Central de Chile
4:40 p.m. Coffee break
5:10 p.m. Session 4: Emerging macro-financial risks and the digital transformation of finance
  Chair: Gerardo Hernández del Valle, CEMLA

The effect of instant payments on the banking system: Liquidity transformation and risk-taking

Presenter: Rodrigo Gonzalez, Banco Central do Brasil
Co-authors: Ding Ding, Yiming Ma and Yao Zeng
Discussant: Mariela Dal Borgo, Banco de México

Financial stability implications of generative AI: Taming the animal spirits

Presenter: Anne Lundgaard Hansen, Federal Reserve Bank of Richmond
Co-author: Seung Jung Lee
Discussant: Haoyang Liu, Federal Reserve Bank of Dallas
Tuesday, November 25
San Antonio
8:30 a.m. Registration
9:00 a.m. Session 5: Macroprudential policy: Design, transmission and applications
  Chair: Nelson Ramírez Rondán, CEMLA

The capital constraints channel of collateral eligibility: Evidence from a credit support exit policy

Presenter: Patricio Toro, Banco Central de Chile
Co-authors: Luis Felipe Céspedes, Tomás Cortés and Alberto Undurraga-Flotts
Discussant: Peter Karlström, CEMLA

Internal loan ratings, supervision and procyclical leverage
Presenter: Pinar Uysal, Federal Reserve Board
Co-authors: Stephen A. Karolyi, Lewis W. Gaul and Jonathan Jones
Discussant: Anya V. Kleymenova, Federal Reserve Board
10:20 a.m. Coffee break
10:50 a.m. Session 6: Housing market dynamics and credit risk
  Chair: Luis Torres, Federal Reserve Bank of Dallas

Is there a puzzle in underwater mortgage default?

Presenter: David Zhang, Rice University
Co-authors: Lara Loewenstein, Paul Willen and Yuxi Yao

Macroprudential policy and housing wealth inequality: Evidence from the Euro area

Presenter: Alberto Pérez-Bernabeu, Universided de Alicante
Co-author: Álvaro Fernández-Gallardo

U.K. housing market connectivity and the transmission of monetary policy
Presenter: Iván Payá, Universidad de Alicante
Co-author: Alberto Pérez-Bernabeu

Dynamic balance sheet simulation and credit default prediction: A stress test model for Colombian firms
Presenter: Diego Fernando Cuesta-Mora, Banco de la República (Colombia)
Co-author: Camilo Gómez
12:30 p.m. Closing remarks
  Enrique Martínez García, Federal Reserve Bank of Dallas
Gustavo Leyva, CEMLA
For more information

Contact Enrique Martínez García at enrique.martinez-garcia@dal.frb.org.