Saturday 23 April 2016

What sort of financial system do we want?

Before the financial crisis, when we asked about people's opinions about the financial industry, most people would say that the financial industry would benefit the entire economy. However, people's opinions changed after the crisis. The financial crisis speeds up economic activities and enlarges the economic effects. Stability and fast growth could not be gained at the same time, so how should we make the trade-off between stability and growth? It is a question that central banks and regulators should put more efforts.

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