How negative rates can impact households and their savings? In this second part, we will see with William De Vijlder that there is no easy answer to this question given the heterogeneity of households and assets. Hosted by Ausha. See ausha.co/privacy-policy for more information.
In the first episode of this podcast, William De Vijlder analyses the causes of negative rates while explaining how they can brought about the “paradox of thrift”. What does this concept cover? And how could negative rates foster the emergence of such a paradox? Hosted by Ausha. See ausha.co/privacy-policy for more information.
What is the position of central banks/organizations such as BIS (Bank for International Settlements), ECB (European Central Bank), the Fed (Federal Reserve) and the Bank of Japan on the issue of financial stability? In this last episode, William De Vijlder will focus on the Bank of Japan which has been conducting a policy of low interest rates for 20 years. Learning about the impact that such long-term policy has had on the Japanese economic agents is particularly relevant in our current low-rat...
2008 crisis was a major financial crisis but it was far from unique. William De Vijlder gives an account of some of the most significant economic crises with a particular focus on the 20th century. He shows how central banks tried to adjust to economic circumstances and fight financial instability. It is to be noted that financial stability has been one of the main concerns of central banks since the 2000s. The 2008 financial crisis reinforced the ambition of stability with notably the set-up of...
In this episode, William De Vijlder gives a definition of what financial stability is: not only does it create a favourable environment for the smooth functioning of the economy but it also helps absorbing shocks brought about by unforeseen events which put interconnected economic agents (companies, households, the public sector) at risk. He also reviews the four factors which make countries vulnerable and reveals how shocks (whether endogenous or exogenous) may deeply impact the economy. Hosted...
This last episode focuses on the impact of climate risk on the public sector balance sheet. How will states address the challenge of climate change? How will they manage the climate debt? Will they be able to implement the appropriate investment policies in a context of pressure on tax revenues? William De Vijlder exposes in this podcast the tremendous challenge faced by the public sector and the answers it is starting to provide. Interview conducted with François Doux. Hosted by Ausha. See aush...
Climate change can impact business in many ways. We all know the effects of natural disasters, for example. But today, the views of users and consumers should be taken into account. So, climate change can not only affect infrastructure, production or sales but as well the very value of a company. Indeed, its valuation could drop because of climate risk exposure. That is why, William De Vijlder, in this third episode, recommends companies to include climate risk into their balance sheet managemen...
How does climate change impact the household balance sheet? Households’ assets and liabilities may be subject to climatic hazards. In many countries, this lesson was learned the hard way. That is why households should be aware of the environmental impact of the companies they choose to invest in or work for. In this second podcast’s episode, William De Vijlder emphasizes the particular importance of climate change in household finances. Interview conducted with François Doux. Hosted by Ausha. Se...
Climate change puts at risk the balance sheets of numerous actors, such as households, companies and the public sector. The first episode of this series of podcasts sets the general framework, William De Vijlder is going to remind us what a balance sheet is and how climate change can impact it. The second episode will focus on households and the third one on companies. In the fourth and last episode William De Vijlder will explain how climate change is impacting the balance sheet of the public s...
What business strategy should be adopted against geopolitical risks? The third and last episode describes two approaches "coping with" or "avoiding", that is to say to accept the risk or to guard against it. But a third way could be intelligent risk governance. How to build a robust strategy? William De Vijlder evokes different scenarios. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information....
A consequence of globalization is the increasing exposure of companies to geopolitical risk. How can this risk be monitored? How does it affect markets and the economy? In this second episode, William De Vijlder demonstrates the complexity of the issue by exploring the ramifications that exist between all actors. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
The slowdown of the global economy, more and more visible since the end of 2018, has many causes. Among them concern about the pace of US monetary tightening but also about rising trade tensions, import tariff hikes and, and in Europe, Brexit-related uncertainty. Clearly, geopolitics have contributed to an increase in the level of uncertainty. In this series of podcasts William De Vijlder will first define this type of risk, then in a second episode, he will analyse the impact on business and, i...
In an environment of extremely low interest rates, central banks' room for manoeuvre to boost growth in the event of a recession is limited. So what monetary policy should be pursued today? William De Vijlder discusses the question of changing the objective of targeting inflation in monetary policies. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
This second episode analyses the role of inflation targeting in the big disinflation of the 90s, the implications for growth, volatility of growth and inflation, real interest rates and inflation expectations. It also discusses the different perspectives on inflation targeting before and after the Global Financial Crisis of 2008. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
In this first episode, William De Vijlder discusses why low and stable inflation is important and how this led, about 30 years ago, in New Zealand, to introduce a monetary policy based on inflation targeting. He also discusses how this approach has been adopted by an increasing number of central banks. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
Climate change and inclusive growth are closely linked. Low income households will tend to suffer more from the negative economic consequences of global warming. Policy measures to reduce carbon emissions may also have a relatively speaking bigger impact on low income households. These topics are discussed by William De Vijlder in the final podcast of this series. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information....
Addressing inequalities is one of the core challenges for inclusive growth. This episode discusses why, within a given country, inclusive growth is key in tackling inequality and what can be done about it in terms of policy. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
In this new series, William De Vijlder promotes the idea that growth can only be sustainable if it is inclusive. Indeed, poverty reduction on a lasting basis requires inclusive growth that allows people to contribute to and benefit from economic growth. In this first episode, we find out that inclusive growth refers both to the pace and pattern of growth, which are significantly interlinked. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information...
The psychology of a recession, Episode 3 - The stylised facts of a recession (considerable drop in equity prices, widening of the spread between corporate and government bonds) imply that during a slowdown, investors will focus their attention on the likelihood of entering a recession. The sensitivity to bad news increases, the investment horizon shortens and volatility rises, with a detrimental impact on growth. Hosted by Ausha. See ausha.co/privacy-policy for more information....
The psychology of a recession, Episode 2 - Slower growth will raise the concern of households that unemployment will increase. Greater caution means less spending. Companies will scale back investments because they represent a long horizon commitment which moreover is irreversible. Banks will also become more cautious in extending credit, being concerned that the balance sheet quality of customer will suffer from a period of negative growth. Hosted by Ausha. See ausha.co/privacy-policy for more ...
The psychology of a recession, Episode 1 - A significant growth slowdown triggers anxiety that worse is to come. Households and companies hate uncertainty, confidence drops and a negative spiral develops. Although central banks may adopt a more dovish tone, the minds will still be dominated by a feeling that growth is missing. Hosted by Ausha. See ausha.co/privacy-policy for more information.
Third and last episode of the series dedicated to Globalization. In past episodes its limits were mentionned, but what's new for the future of globalization? William De Vijlder discusses three levels of globalization sustainability: inclusion, environment, financial stability – major challenges for economic policy. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
Second episode of the bseries of three dedicated to Globalization. William De Vijlder analyses the transition from multilateralism to bilateralism, in the USA-China relations in particular. What are the consequences of growing bilateralism and uncertainty for trade, capital flows? Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
First episode of three dedicated to Globalization. What made globalization possible? In this first episode, William De Vijlder, the chief economist of BNP Paribas, distinguishes four drivers of globalization and discusses its limits. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information.
Last episode of the series of three podcasts devoted to green finance. Responsible finance gives sense to our investments. How to influence stakeholders (households, businesses, markets finances, public authorities) and adapt our behaviour? William De Vijlder reviews possible solutions and recommends a proactive approach in which everyone integrates the reality of climate change into their decisions, including with respect to financial investments. Interview conducted with François Doux. Hosted ...
Second episode of the series of three dedicated to Green finance. Green finance is a vehicle for financing the investments needed for sustainable economic development. Is climate change an opportunity or a risk for growth? In this episode, William De Vijlder, discusses three scenarios and talks about the ambitions of economic policy that begins to take into account growth objectives respectful of the environment. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-polic...
First episode of three dedicated to Green Finance. Since the end of the 70's, we have been talking about the climatic consequences of economic development. How does finance respond to the needs of a more sustainable development? In this first episode, William De Vijlder, the chief economist of BNP Paribas, reviews the definition, origins and perspectives of green finance. Interview conducted with François Doux. Hosted by Ausha. See ausha.co/privacy-policy for more information....
Last episode of three dedicated to the tenth anniversary of the 2008 crisis and the Great Recession. Considering that the US business cycle is well advanced, time has come to assess which recipes central bankers will use to address the next downturn? William De Vijlder expects a creative approach will be adopted. Hosted by Ausha. See ausha.co/privacy-policy for more information.
Second episode of three dedicated to the tenth anniversary of the 2008 crisis. After the Great Recession of 2008 William De Vijlder discusses the end of quantitative easing and the move towards a monetary policy which is less benign for financial markets. The road to normalization seems to be long and winding… Hosted by Ausha. See ausha.co/privacy-policy for more information.
First episode of three dedicated to the tenth anniversary of the 2008 crisis. What happened in 2008? And how has this global shock changed the role of central banks and impacted financial circles? William De Vijlder, BNP Paribas Group Chief Economist, reviews history and explores the solutions found at that time. Hosted by Ausha. See ausha.co/privacy-policy for more information.
