Systemic
in sentence
743 examples of Systemic in a sentence
Of course, you can argue that post-crisis regulatory reform will eventually resolve the problem of periodic
systemic
risk, and that we will return to the more comfortable world of relatively stationary risk without periodic imbalances.
The historical evidence suggests that
systemic
risk is persistent and resistant to regulatory efforts to eliminate it.
And, while the international dimensions and sources of
systemic
risk are increasingly important, thus far we have only limited demonstrated capacity, if any, for dealing with them.
There are, no doubt, competitive and other consequences to adopting a more conservative approach that factors in periodic
systemic
risk, and they will vary across institutions.
One can think of periodic
systemic
risk as an inherent tendency toward reversion to the mean: short- and medium-term returns can deviate considerably and for extended periods from the expected long-run returns associated with various investment strategies and capabilities.
Nevertheless, they are not invulnerable, because even fair valuations – or, indeed, undervaluations – are not exempt from the downward pressures of a crisis or the resetting of asset prices after a build-up of
systemic
risk.
The focus has been appropriately on the cash-flow challenges that come from a combination of large illiquid investment portfolios and large
systemic
shocks that cause adverse shifts in the cash flow models.
First, illiquid investments limit investors’ ability to adjust their portfolios in response to early warnings of an increase in
systemic
risk.
This means that liquidity has potentially significant value, which rises when
systemic
problems emerge.
All of this highlights the need for new benchmarks for performance and compensation that factor in vulnerability to periodic
systemic
risk, with special attention to debt and liquidity.
The challenges of assessing
systemic
risk and the timing of instability are just that – challenges, not reasons to ignore the phenomenon.
But this does not necessarily work in an imperfectly functioning monetary union, such as the eurozone, where the continual appearance of
systemic
flaws erodes confidence; in such circumstances, the result may be hoarding and capital outflows, rather than increased spending.
Such factors of inertia are systemic: they cannot be overcome internally by some ingenious system of majority voting.
If the Europeans back away from the costs of victory, they will give dramatic proof of their reluctance to develop a European CFSP: the
systemic
obstacles coupled with cowardice will have proved stronger than the éngrenage.
Europe remains a significant economic and commercial actor – one that can rebound at any time, now that it has at least partly transcended its
systemic
crisis.
European experience suggests that large-scale
systemic
shocks call for greater financial support.
This suggests that the CMIM could be especially constrained amid a
systemic
shock or political disputes among member countries.
In my book Capitalism 4.0, I argued that comparable political upheavals would follow the fourth
systemic
breakdown of global capitalism heralded by the 2008 crisis.
Europe should have used its regulatory power and managed the conflict between
systemic
and competitive risk that all this emergency public funding was generating, but the competition watchdog’s contradictory request that companies receiving funding should reduce credit to their clients made this well nigh impossible.
These are very interesting ideas, but the evidence still seems overwhelming that the drag on the global economy mainly reflects the aftermath of a deep
systemic
financial crisis, not a long-term secular innovation crisis.
The profound resemblance of the current malaise to the aftermath of past deep
systemic
financial crises around the world is not merely qualitative.
The
systemic
crises in food, fuel, and finance that came to a head in 2008 – and that are ongoing in many countries – have their roots in an economic paradigm that has not accounted for the value of nature and its array of life-supporting services.
Without a real and lasting solution that recalibrates our current economic thinking at a
systemic
level, the scale and pace of change could soon push the planet past critical thresholds and make sustainable development everywhere an impossible dream.
Given China’s
systemic
importance to the global economy, instability there could pose major risks far beyond its borders.
There is now a serious risk of a
systemic
meltdown in US financial markets as huge credit and asset bubbles collapse.
The risk that a
systemic
financial crisis will drive a more pronounced US and global recession has quickly gone from being a theoretical possibility to becoming an increasingly plausible scenario.
That should have become obvious a decade ago, when the
systemic
vulnerabilities of financial markets, with their single-minded focus on profit maximization, were laid bare.
The resulting concentration of revenue, wealth, and power undermines
systemic
stability by creating too-big-to-fail entities, while hampering smaller players’ ability to compete.
And, despite a growing consensus about the
systemic
nature of the challenges affecting education, there is less agreement about how to address those
systemic
challenges.
Such networks, if organized properly, could offer a partial solution to the
systemic
challenges affecting education.
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