Brad Howell

Principal Economist

Contact

Brad Howell

Principal Economist
Financial Stability
Financial Institutions

Bank of Canada
234 Wellington Street
Ottawa, ON, K1A 0G9

Latest

November 14, 2013

Assessing Financial System Vulnerabilities: An Early Warning Approach

This article focuses on a quantitative method to identify financial system vulnerabilities, specifically, an imbalance indicator model (IIM) and its application to Canada. An IIM identifies potential vulnerabilities in a financial system by comparing current economic and financial data with data from periods leading up to past episodes of financial stress. It complements other sources of information - including market intelligence and regular monitoring of the economy - that policy-makers use to assess vulnerabilities.

See More

Follow the Bank