01691cas a2200265 a 4500 AALejournalIMF016757 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484323052 1018-5941 BD-DhAAL BD-DhAAL Benes, Jaromir. Mitigating the Deadly Embrace in Financial Cycles : Countercyclical Buffers and Loan-to-Value Limits / Jaromir Benes, Douglas Laxton, Joannes Mongardini. Washington, D.C. : International Monetary Fund, 2016. 1 online resource (26 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper presents a new version of MAPMOD (Mark II) to study the effectiveness of macroprudential regulations. We extend the original model by explicitly modeling the housing market. We show how household demand for housing, house prices, and bank mortgages are intertwined in what we call a deadly embrace. Without macroprudential policies, this deadly embrace naturally leads to housing boom and bust cycles, which can be very costly for the economy, as shown by the Global Financial Crisis of 2008-09. Mode of access: Internet Laxton, Douglas. Mongardini, Joannes. IMF Working Papers; Working Paper ; No. 2016/087 Full text available on IMF http://elibrary.imf.org/view/journals/001/2016/087/001.2016.issue-087-en.xml IMF e-Library