Year: 2011
Type: editorial
Abstract: The financial crisis, which began in mid-2007 and reached a crescendo in September 2008 with the fall of Lehman Brothers and its immediate aftermath, ushered in a severe period of doubt for those who had expounded the benefits of free market capitalism.Gillian Tett, one of the Financial Times' most insightful reporters on the crisis wrote on March 10, 2009 that not only is the financial system plagued with losses of a scale nobody foresaw, but the pillars of faith on which this new financial capitalism were built have all but collapsed.That has left everyone from finance minister or central banker to small investor or pension holder bereft of intellectual compass, dazed and confused.She quotes the head of Merrill Lynch's Moscow operation as stating that 'Our world is brokenand I honestly don't know what is going to replace it'.What a difference a few years make!The crisis of finance capitalism has turned into the fiscal crisis of the state.Having rescued the banks through the provision of millions of dollars worth of state funding, governments have found themselves facing a crisis in their budgets that comes directly from the crisis, the rescues and their impact on revenues and expenditures.The result,
Source: Organization
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: bronze
OpenAlex ID: W2038570520