For this answer please provide answers for the whole question. each point is important so please address each point labeled 1 to 12. Will give good ratings if done well. Take your time. I only need it back in 2 days. Write essay with the title: "Systemic Instability of the Banking Sector: Causes and Cures", in which you pay careful attention to at least the following aspects: 1) The determinants of liquidity risk and solvency risk and how they are interrelated (10/100). 2) Discuss how full convertibility can discourage undue liquidity risk taking and how full (unlimited) liability can discourage undue solvency risk taking. The difference as well as the overlap between the cash funding and balance sheet funding of banks (5/100). 3) The role of the central bank's elastic currency policy in the cash funding of the banking sector a whole. (10/100) 4) Discuss how currency elasticity lessens the sanctions on imprudent bank behaviour resulting from adverse biases in the pattern of their cash gains/losses, thereby creating moral hazard and encouraging imprudent risk taking. The logic behind why the two ultimate sources of balance sheet funding for the banking sector are: (a) the monetary deposits which banks create in the process extending credit to the local public and (b) their borrowing from abroad (10/100). 5) The logic of the liquidity risk constraints on the balance sheet growth of the banking sector as a whole, and how the central bank's elastic currency policy removes these constraints. (5/100) 6) The logic of the solvency risk constraints on the balance sheet growth of the banking sector as a whole, and how various government measures weaken these constraints under a contemporary fiat money system (10/100). 7) How the removal of liquidity risk constraints and the weakening of solvency risk constraints on balance sheet growth increases the solvency risk of banks (10/100). 8) Those elements of the US subprime crisis and the Eurozone sovereign debt crises which caused instability in the banking system. (15/100) 9) Give particular attention to how these elements, operating in combination, conspired to produce these crises. Why banking crises force banks to deleverage, why deleveraging negatively affects the real economy and how the authorities can try to limit the damage to the real economy. (10/100) 10) The difference between micro- and macroprudential regulation. (15/100) 11) Discuss the various types of macro-prudential regulation as suggested by the Basel III framework. 12) Explain the limited extent to which increased liquidity and capital requirements can prevent banking instability.