Wednesday, April 14, 2010
“Can we limit excessive risk taking solely through regulation?”
This session will evaluate evidence that the financial meltdown was a result of excessive risk taking, explore recent regulatory and policy activity, voice skepticism on the current proposed solutions, offer other mechanisms that should be explored and discuss how incentives can be established to create improved transparency and healthier companies.
Simon Johnson is the Ronald A. Kurtz Professor of Entrepreneurship, MIT’s Sloan School of Management; senior fellow, Peterson Institute for International Economics; and an expert on financial crises – their prevention, mitigation and recovery. As the former chief economist at the International Monetary Fund, Johnson led the global economic outlook team, helped formulate innovative responses to worldwide financial turmoil and was among the first to propose new forms of engagement for sovereign wealth funds.
Johnson is one of the world’s foremost authorities on the financial sector and economic crises. During the past 20 years, he has worked on crisis prevention, mitigation and recovery, as well as economic growth issues in advanced economies, emerging markets and developing countries. His work focuses on policymakers—how they can limit the impact of negative shocks, manage the risks faced by their countries and maintain global economic stability. Recently he has provided forthright and healthy skepticism, voicing sometimes controversial views and incorporating excellent perspectives.