Of AI bubbles and crashes
Warnings of an AI stock market bubble abound. Should investors and policymakers be concerned? Innovation-driven bubbles can yield real benefits when f…
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15 posts in this category
Of bubbles and crashes
There are plenty of warnings about a pending stock market crash, alongside a few hopeful voices. The only real uncertainty is when it will happen.
Read moreArtificial intelligence, supervision and financial stability
Artificial Intelligence (AI) adoption in finance is accelerating, giving private sector firms speed and agility that overwhelm human-centred supervisi…
Read moreHow central banks can meet the financial stability challenges arising from artificial intelligence
The growing use of artificial intelligence (AI) poses difficult challenges for the financial authorities. AI allows private-sector firms to optimise a…
Read moreArtificial intelligence and stability
Financial institutions are rapidly embracing AI – but at what cost to financial stability? This column argues that AI introduces novel stability risks…
Read moreThe one-in-a-thousand-day problem
Financial crises usually inflict the most damage when banks suddenly shift from pursuing profits to survival. This column argues that such drastic beh…
Read moreHow the financial authorities can respond to AI threats to financial stability
Artificial intelligence can act to either stabilise the financial system or to increase the frequency and severity of financial crises. This second co…
Read moreAI financial crises
The rapid adoption of artificial intelligence is transforming the financial industry. This first of a two-column series argues that AI may either incr…
Read moreHow the financial authorities can take advantage of artificial intelligence
Artificial intelligence will both be of considerable help to the financial authorities and bring new challenges. This column argues the authorities ri…
Read moreHow AI can undermine financial stability
As artificial intelligence makes inroads into the financial system, it exacerbates existing channels of instability and creates new ones. This column …
Read moreArtificial intelligence and financial stability
The use of artificial intelligence in the private sector is accelerating, and the financial authorities have no choice but to follow if they are to re…
Read moreWhen artificial intelligence becomes a central banker
Artificial intelligence is expected to be widely used by central banks as it brings considerable cost saving and efficiency benefits. However, as this…
Read moreArtificial intelligence as a central banker
Artificial intelligence, such as the Bank of England Bot, is set to take over an increasing number of central bank functions. This column argues that …
Read moreAll about BoB — The Bank of England Bot
Imagine the day when BoB — the Bank of England bot — comes to life, the artificial intelligence engine designed to keep us safe from the evils of the …
Read moreArtificial intelligence and the stability of markets
Artificial intelligence is increasingly used to tackle all sorts of problems facing people and societies. This column considers the potential benefits…
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