Robert Wade on Financial Crisis and Reregulation
I have long subscribed to Challenge magazine, a generally progressive and accessible US economic journal which I recommend highly to readers of this blog. Individual articles can be downloaded, for a fee of $25.
The current issue has an excellent piece by the LSE’s Robert Wade on the current financial crisis, which he sees as rooted not just in financial deregulation but also in a destructive interaction between an out of control financial sector and the unbalanced global economy. Most notably, Wade puts forward a fairly concrete agenda for regining in global finance through actions at the international and national level, including capital controls and establishment of a layer of publicly owned banks.
There’s also a good article in this issue on oil prices, arguing that speculation has clearly pushed up prices – not least because high futures prices induce OPEC and transnational corporate producers to hold back available supplies from the market.