{"id":714,"date":"2008-09-15T11:18:09","date_gmt":"2008-09-15T16:18:09","guid":{"rendered":"http:\/\/ietransfer.wpengine.com\/?p=714"},"modified":"2008-09-15T11:18:09","modified_gmt":"2008-09-15T16:18:09","slug":"lehman-brothers-collapse-new-economic-architecture-required","status":"publish","type":"post","link":"https:\/\/inspiredeconomist.com\/articles\/lehman-brothers-collapse-new-economic-architecture-required\/","title":{"rendered":"Lehman Brothers Collapse: New Financial Architecture Required"},"content":{"rendered":"

\"\"Switching on the radio this morning<\/a>, the reaction to Lehman Brothers<\/a>\u2019 bankruptcy was sobering to say the least. No more \u201cAww .. it\u2019s OK, it\u2019ll get better\u201d. Now it was:<\/p>\n

\u201cIt may be past time to panic already. These are certainly seismic events.\u201d Terry Smith, Chief Executive at Tullett Prebon<\/a>, leading Internet Stock Brokerage<\/p><\/blockquote>\n

\u201cThis is not stress testing, this could be testing where the failure point lies.” John Moulton, Alchemy Partners<\/a>, leading Private Equity providers.<\/p><\/blockquote>\n

Time and time again there was discussion of the architecture of modern market capitalism, leading to dark predictions that other \u201cbuildings\u201d could easily collapse before a new architecture would emerge.<\/p>\n

All of which reminded me of the earthquake which hit China several months ago<\/a>.<\/p>\n

There, a single seismic shock flattened hundreds of schools while the buildings around them remained standing. In some towns an entire generation was almost wiped out.<\/p>\n

No one called for an end to schools or children to avert another disaster. Instead they called for an end of corruption and a new regulatory framework to ensure future schools were built using proper materials.<\/p>\n

Similarly, the architecture of the money markets and how they\u2019ve become intertwined with personal banking and business operations has now been shown to be flawed and unsustainable.<\/p>\n

We need a new economic architecture, one which will ensure that all the aspects of a successful economy are mutually supporting and continuously sustainable.<\/p>\n

And here and now is where that discussion begins. What are the worst flaws in the old architecture? What improvements would introduce in a new architecture?<\/p>\n

Or is this talk nonsense and we can continue as we are, continuously reliving the pain of a bust to bring about the rapture of a boom?<\/p>\n

I’d love to hear your views! Add your comments below or start a new discussion thread in the Green Options Forum<\/a>.<\/p>\n

Related Posts:<\/strong>
\n Establishment of the Lehman Brothers Center for Global Finance and Economic Development at Spelman College<\/a>
\n Chicago Green Exchange: A Model for Green Retail?<\/a>
\n World Economic Forum Honors Social Entrepreneurs and Calls For Fast Reform<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Switching on the radio this morning, the reaction to Lehman Brothers\u2019 bankruptcy was sobering to say the least. No more \u201cAww .. it\u2019s OK, it\u2019ll get better\u201d. Now it was: \u201cIt may be past time to panic already. These are certainly seismic events.\u201d Terry Smith, Chief Executive at Tullett Prebon, leading Internet Stock Brokerage \u201cThis […]<\/p>\n","protected":false},"author":11,"featured_media":715,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center 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No more \u201cAww .. it\u2019s OK, it\u2019ll get better\u201d. Now it was: \u201cIt may be past time to panic already. These are certainly seismic events.\u201d Terry Smith, Chief Executive at Tullett Prebon, leading Internet Stock Brokerage \u201cThis…","_links":{"self":[{"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/posts\/714"}],"collection":[{"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/comments?post=714"}],"version-history":[{"count":0,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/posts\/714\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/media\/715"}],"wp:attachment":[{"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/media?parent=714"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/categories?post=714"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/tags?post=714"},{"taxonomy":"adace-sponsor","embeddable":true,"href":"https:\/\/inspiredeconomist.com\/wp-json\/wp\/v2\/adace-sponsor?post=714"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}