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Home > QFINANCE Dictionary > Definition of macroprudential risk

Definition of

macroprudential risk


risk of collective action causing instability the risk that individual companies acting prudently will nevertheless cause instability in a financial system by their collective action in a particular area, for example, all lenders restricting lending or all companies selling assets at the same time

Definitions of ’macroprudential risk’ and meaning of ’macroprudential risk’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’macroprudential risk’ and other financial terms with our online QFINANCE Financial Dictionary.

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