In Defense of Free Capital Markets: The Case Against a New International Financial Architecture
David F. DerosaISBN: 157660036X; 9781576600368;
Because of the remarkable number of currency and emerging market meltdowns during the 1990s? from the Mexican peso crisis to the collapse of the Asian markets to the Russian devaluation of the ruble? the free market system faces the prospect oftighter global regulation. David DeRosa makes a compelling case that less, not more regulation is vitally needed; that public policies often have been dead wrong in concept and application; that so-called controls generate indirect and unintended harmfulconsequences; and that aggressive intervention is no panacea. When confronted with a financial crisis, many leaders prefer to indict the international financial system rather than admit to policy blunders that may be of their own making. This book analyses the economic conditions that produced a number of recent financial crises. It also investigates the responses made to each crisis, to uncover whether government policies directed at these episodes of turmoil made matters better or...