The pain and anguish of the current global economic crisis were caused by a series of massive failures in the heart of the world’s most developed countries. We are in our current fix because of an excess of financial innovation, driven by ever-increasing thirst for short-term profit.
Against a background of government support for the expansion of financial markets, many people turned a blind eye to basic issues of business ethics and regulation. We now need to rewrite the rules of finance and global business. To restore the trust that is fundamental to functioning markets, we need better regulation, better supervision, better corporate governance and better coordination. All of these, in turn, call for improved cooperation at a multilateral level.
In such an environment, governments must not be lured into riding to the rescue of every ailing national firm or interest. We will only make the crisis worse if we succumb to the lure of protectionism and petty nationalism.
See full Article.
Posts
