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Macroprudential Policies Can Mitigate the Effects of Global Economic Policy Uncertainty on Gross Capital Inflows, Study Argues

Global economic policy uncertainty has increased since the financial crisis of 2007-09, negatively impacting cross-border capital inflows and raising the danger of contagion risks. A recent study shows how policymakers can mitigate these negative consequences using the policy tools at their disposal, particularly macroprudential policies.

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