Systematic risk and systemic risk in financial market

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Reference no: EM131531029

1. Argue how the measures on the connectivity, clustering and centrality a financial market network would help us to recognise the fragility of a financial market.

2. In modern complex financial markets, Haldane argues that the government should regulate the financial institutions differently. What are the focus of his suggestion in comparing with the current Basel international banking regulatory model.

3. Briefly explain the difference between systematic risk and systemic risk in financial market. Describe the methods on how to estimate corresponding betas on the systematic risk and the systemic risk of the hypothetical financial market.

Reference no: EM131531029

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