Bank transactions by internet and mobile banking have sharply increased since the 2008 global financial crisis. In this digital environment, new technologies – such as advanced analytics and big data, in addition to the use of robotics, artificial intelligence, besides new forms of encryption and biometrics – have been enabling changes in the provision of… Read More Digital banks and fintechs
Prior to the Global Financial Crisis (GFC 2007), many senior economists and policy makers expressed confidence that they had finally solved the problem of business cycles, booms and busts, that plagues capitalism. Because of this over-confidence, early warnings of a looming crisis by Nouriel Roubini, Ann Pettifor, Peter Schiff, Steven Keen, Dean Baker, and Raghuram… Read More A Crisis-Prone & Fragile Financial System
Global financial integration has augmented the exposure to macroeconomic and financial vulnerabilities. In this scenario, prudential financial regulation presents challenges to success. First, banking assets and liabilities are vulnerable to changes in macroeconomic conditions. Second, segmented supervisory authorities do not cope with the universal scope of banks. Third, new regulatory patterns are generally proposed after… Read More Shrunken global biggest banks
In the wake of the Global Financial Crisis (GFC 2007), the Queen of England asked academics at the London School of Economics why no one saw it coming. The US Congress constituted a committee to investigate the failure of economic theory to predict the crisis. Unfortunately, economists remain unable to answer this critical question. Some say… Read More Why did no one see it coming?