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Some preliminary proposals for re-regulating financial systems

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Author Info
Mario Tonveronachi ()
Elisabetta Montanaro ()
Abstract

Unlike the official view which ascribes the current crisis to some anomalies of the securitisation processes, and consistently proposes minor adjustments to the existing regulatory apparatus, our opinion is that we are facing the last episode of a string of crises originated by the structural evolution of the financial systems in the last decades. Adopting a systemic approach, we summarise this evolution in six critical points and show the necessity of a radical overhaul of the regulatory framework. A preliminary scheme of consistent regulatory measures is then proposed, aiming at an acceptable degree of systemic stability while reasserting the fundamental function of the financial sector of promoting private productive investments and innovation

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Paper provided by Department of Economics, University of Siena in its series Department of Economics University of Siena with number 553.

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Date of creation: Jan 2009
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Handle: RePEc:usi:wpaper:553

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Related research
Keywords: financial regulation; international finance; crises; systemic stability;

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Find related papers by JEL classification:
G2 - Financial Economics - - Financial Institutions and Services
F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions
E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
G01 - Financial Economics - - General - - - Financial Crises
G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Merton, Robert C., 1995. "Financial innovation and the management and regulation of financial institutions," Journal of Banking & Finance, Elsevier, vol. 19(3-4), pages 461-481, June. [Downloadable!] (restricted)
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  2. Claudio Borio, 2007. "Change and Constancy in the Financial System: Implications for Financial Distress and Policy," RBA Annual Conference Volume, in: Christopher Kent & Jeremy Lawson (ed.), The Structure and Resilience of the Financial System Reserve Bank of Australia. [Downloadable!]
  3. Daníelsson, Jón, 2008. "Blame the models," Journal of Financial Stability, Elsevier, vol. 4(4), pages 321-328, December. [Downloadable!] (restricted)
  4. Jan KREGEL, 2004. "External Financing For Development And International Financial Instability," G-24 Discussion Papers 32, United Nations Conference on Trade and Development. [Downloadable!]
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This page was last updated on 2009-11-3.


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