COMMENT
Breadcrumb trail navigation:
By Niall Ferguson and Laurence Kotlikoff
Published: December 2 2009 22:00 | Last updated: December 2 2009 22:00
As Dubai World's default shows, the financial crisis is far from over. Surprise, surprise, among the creditors with the biggest exposure is Royal Bank of Scotland "“ a reminder that reckless lending by supersized banks was a global phenomenon. Taxpayers are entitled to ask for a radical reform of banking regulation to ensure they will never again have to foot huge bills for financial folly. So far, there is only one credible proposal.
In a recent speech in Edinburgh, Mervyn King, the governor of the Bank of England, called for "utility banking", which would limit banks to their legitimate purpose "“ financial intermediation and payment facilitation "“ as opposed to gambling with taxpayers' money.
You have viewed your allowance of free articles. If you wish to view more, click the button below.
Read Full Article »
