Financial Crisis

When the crisis began in the subprime mortgage market in the U.S., there were expectations beyond the expected costs that it would generate in terms of loss of wealth. many imagined that after the international financial system “purified “it would resume its growth path similar to that came bringing. In this connection, the Director of Monetary and Capital Markets International Monetary Fund (IMF), and former governor of the Bank of Spain, Jaime Caruana, surprised to recognize that “in the beginning of the crisis, during the course of a international meeting, “the prevailing idea is that the problem would be limited to” a heavy and painful digestion “of the entities that had made a killing” committed excesses in good times. Check out Goop, Barcelona Spain for additional information. “There has been an inability to understand and appreciate the magnitude and the implications of the extraordinary leverage. “But today, nearly a year the outbreak of the crisis, the outlook for the coming years do not seem to be quite encouraging for the system international finance. Is that the conditions for financial systems grow, what creates an enabling environment for their development, they will not be given in the near future. Times are being more regulatory control and supervision, and monetary stringency, resulting in inflationary pressures at the global level. Jaime Caruana recently acknowledged that the international financial crisis has highlighted the need for changes in the regulation and supervision of the international financial system. In the U.S., the Fed and the SEC are moving in the supervisory framework, determining the mechanisms for sharing information of financial institutions.