Aasof’s Reflections

In a 2009 article in the First Post with the title ’How Labour’s Faustian pact with capitalism led to the financial crisis’, Nick Cohen contended that the seeds of the current crisis are to be found in the 2001 Financial Services and Markets Act. This Act required the Financial Services Authority “Not to discourage the launch of new financial products”. So said the government as it laid down the terms of trade for London’s banks and hedge funds. In addition, the FSA had to avoid “erecting regulatory barriers”, also “it must consider the international mobility of the financial business” and “avoid damaging the UK‘s competitiveness”.
Read more of this post