A Lead Role for the World Bank in a New Global Financial Architecture?
Regulators need a place to meet to "exchange information on what's going on in each country" and come up with a "realistic concept of global risk," Blackstone Group CEO Steve Schwartzman told Fortune in this video interview.
"You can imagine a World Bank concession, or some group where you have permanent representatives from each country, and every quarter they’re looking at the risk in their system,” he said. Findings could be published immediately on the Internet so that market participants can instantly see "which countries are creating high-risk systems, where the bubbles are."
Comments (4)
E-mail
Digg
Bookmark
Facebook
Even better, why not use predictive markets to exchange and expose information?
Posted by: Owen Barder | Nov 4, 2008 12:37:49 PM
Instead of scanning our countries for pockets of risk would we not be better off scanning them for opportunities for development?
The worst part with the present US bust is what little real progress its corresponding boom brought.
Posted by: Per Kurowski | Nov 4, 2008 4:25:05 PM
The IMF is supposed to be doing this already with its links to central banks, data gathering, and global financial stability reports. Maybe needs to get closer to individual segments and markets, like credit derivatives? But the Fund can't create data where none exists - national regulators need to require reporting where systemic threats exist.
Posted by: William Gwinner | Nov 5, 2008 11:42:28 AM
The entire crisis can be solved by systematically channelising hidden small investment potential of people through small entrepreneurship development which will further increase employment opportunities.
Countries need to work on business models that can be started as low as USD 500.
We need not have a strict regulatory framework for small enterprise like large enterprises. Business needs to be made simple. We can help.
We sensed this financial crisis in year 2003 itself and started working on and built a robust business architecture.
We developed Small Entrepreneurship Development Plan with Community Participation without Government Support, Launched Corporate Governance System Standard, Designed 40+ Module ERP for just USD 20 Per Month and Setup Alternate Dispute Resolution Mechanism.
All so that we generate large scale employment opportunities. See www.lifeforeveryone.com for more details.
Posted by: Bhuvnesh Chaturvedi | Nov 15, 2008 11:05:37 AM