Tag: Euro zone

  • The work method needs to be changed, right now!

    In my most recent monthly column in Le Monde – Économie – published on May 9th, I point out the fact that underlying the negotiations held since 2008 in view of a financial overhaul, there is an implicit premise that the representatives of the financial community have the ability of relating with the common good. The period 2007 to 2009 provides us however with sufficient evidence to falsify such an optimistic hypothesis. I suggested in conclusion that appropriate measures be implemented now with no further consultation with the financial community.

    In his recent post entitled “C’est raté!” François … Read the rest

  • Le Monde – Économie, Monday 8 – Tuesday 9 March 2010

    Here an English translation of La machine infernale, my monthly column for March in Le Monde – Économie.

    A DEVILISH DEVICE

    Only five years ago, we were led to believe that the advertised model of the economic and financial apparatus represented a system that was finally mature: stable because thoroughly predisposed to self-regulate and practically safe thanks to super-efficient risk-spreading.

    Self-regulation did not happen. Risk, although atomized, was nonetheless concentrated by the more astute players into enormous portfolios of financial products with, influenced by the economic climate, inflated risk premium; an unavoidable downside correction triggered the implosion of the … Read the rest