Política y cultura
Print version ISSN 0188-7742
The Bretton Woods system came to an end in the first half of the 1970s. The new global architecture that emerged, both domestic and international financial markets were liberalized and deregulated. However, empirical results of financial liberalization do not follow what proponents predicted. The most recent financial crisis is but one additional example in many of the failings of liberalized financial markets. As such, the crisis presents itself as an opportunity to rethink what policy tools and instruments are best suited to re-regulate integrated domestic and international financial markets. We survey a number of alternative proposals for financial regulation put forth by post Keynesian, structuralist and Marxian economists since the late 1970s. We conclude that none of the proposed alternatives by itself is perfect, as all have limitations. Instead, an integrated and coherent regulatory framework should be considered in such a was as to maximize their positive impact in the light of long-term objectives and what is the best financial system for developing nations.
Keywords : financial liberalization; regulation; financial crisis; international financial architecture; financial system.