In September 2007, the Bank of England hosted an international conference on the sources of macroeconomic stability. This article summarises some of the ideas and debates that were raised at the conference. It focuses particularly on the role of monetary policy in fostering macroeconomic...

It is widely suggested that there is some relationship between banking crises and recessions. We assess whether there is evidence for interdependency between recessions and banking crises using both non-parametric tests and unconditional bivariate probit models and find strong evidence for...