Sunday, September 25, 2011
What Level of Finance is Good for Economies?
This article talks about how over the past 30 years the financial sector has fallen out of touch with the nation as a whole. Ranging from a growing dependence on financial craftsmanship for gpd growth, to the over sized banking firms, and how the financial sector and banking are behind in technology that may be necessary to reach small and medium sized businesses.
Subscribe to:
Post Comments (Atom)
This article is great because it delves into the subject of the role of banks and "financial craftsmenship" . Many, including myself, believe that the banks have over stepped their bounds. They are getting into areas that one, they probably shouldn't be in, and two, should definitely not receive government assistance for. this article helps people see how we need to tighten the reigns of banks. We need to make them smaller, make them focus more on the simplistic ideals of matching savers and borrowers, and less on seeing how many loans can be made and how thinly that risk on those loans can be spread.
ReplyDeleteThats why Too big too Failed happened with the investment Banks. The FED need to bailed them out even if they didn't want too.
ReplyDelete