Customer Reviews

Global Finance at Risk: The Case for International Regulation

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This is an excellent review of what has happened to, may happen to--and will happen to--the situation of Global Finance. Eatwell makes strong points about both currency in global markets, and its pejorative effects in local or regional areas. He brushes on many of the key issues concerned in golbal economic concerns, including Bretton Woods, IMF, the EC, the Asian economic crisis. In the end, he seems to suggest action of major restructuring of current currency guidelines, even to the point of 'support' for currencies or other like dimensions.

Overall, a very good book.

John Eatwell was a professor of mine - a wonderful individual and an accomplished economist. This book is a lucid yet comprehensive account of world financial markets. The way it is written and organized makes it easy for almost anyone to read. Although it can be complex at times, this book is an excellent, compelling argument for International Regulation. Dont think twice to buy this one.

"The institutional framework of the WFA and the role it would perform in the international economy derive both from the analysis of this book and historical experience. History's experience has confirmed the need for regulation and a lender of last resort in domestic markets. The same sorts of measures are now required internationally if a broadly liberal world financial order is to survive."

In "Global Finance at Risk" John Eatwell and Lance Taylor make a persuasive case for international financial regulation (the WFA). They lucidly explain the economic theory behind international economics and finance in a format easy for laymen to understand. The clearly define the weaknesses in our current financial architecture and why a severe crisis is more likely to occur unless international regulation occurs.

Unfortunately, the likelihood of the international community implementing their proposal is slim at best. It has been a decade since the book was published and no one (at least prominent) has seriously called for a World Financial Authority. Most countries are currently looking to increase domestic regulation. But as the authors points out that is not enough. Nor are more 'practical' responses of increased market self-regulation. We need a WFA to complement the IMF in preventing crises from occurring and quickly acting when they happen.

The book perfectly highlights what "should be." However, what they suggest will "not be" for the foreseeable future.