30 January 2010

Davos and financial regulations

I found two consensuses coming out of Davos -:

a) Heads of states agreed that regulations must be coordinated to prevent arbitrage

b) Economists and gurus warned of possibly severe problems ahead Even and even if things don't go too badly, the jobless recovery is going to be painful for the western world. The growth in emerging markets is too small to compensate for the fall in growth in the west.

I found it unusual that even the sophisticated audience at Davos ridiculed the banking class for the bonuses and back to the business as usual attitude of the financial world.

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