On January 9 a meeting in Paris was chaired by French President Sarkozy to stimulate debate ahead of the G-20 meeting in April. Several issues were discussed. The most dramatic proposal came from Italian Economy Minister, Giulio who proposed a "legal standard" for world economies similar to the "gold standard" of the past which liked economies together.
Among his proposals are a very long moratorium for toxic products and derivatives in order to prevent them from "destroying the entire system."
President Sarkozy of France who chaired the meeting said he wanted to discuss issues facing world economies and how to deal with them. He noted that the world has taken advantage of deregulation in order to abandon rules.
Italian Treasury Minister Tremonti said that derivatives are the main enemy. He went on to say that they are worth a staggering 12.5 times the global GDP, and their real impact is unknown. He said that some things must be protected and a priority must be given to businesses and families.
Can you imagine what might happen if the whole world starts deleveraging all at once?
Do you agree with these proposals? Will they help to solve our financial problems?
Will Rich Ross really have a positive impact on Disney's movie operations?
Consumers sick of recession, may spend extra on holidays
Corrections, seasonality and Santa Claus
Reader Comments (Page 1 of 1)
1-14-2009 @ 4:05PM
Iridium said...
Leveraging is what got us in this mess. That is what needs to be stopped. If you have $100 you should only be able to buy $100 worth of stuff period.
I think I should be allowed as a consumer to buy a $100k car for $10k. Banks are allowed to do it with assets why not me.