Microprudential regulation
What Microprudential regulation means in Economics A-Level, as defined for AQA.
Definition of Microprudential regulation
Check what you remember
Read the wording for your board, then hide it and explain Microprudential regulation in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Regulation focused on individual banks and insurers, ensuring they hold sufficient capital and manage risk safely to avoid collapse.
Topics that use Microprudential regulation
- The regulation of the financial system (AQA A-Level)
Related terms
- Bank run
- Capital ratio
- Consumer protection
- Financial stability
- Insolvency
- Liquidity ratio
- Macro-prudential policy
- Macroprudential regulation
Using Microprudential regulation in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Economics questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
A week of Premium from your first lesson · Then the free plan continues · No card, no charge