The sharp contrast between the Canadian experience and how negatively the financial crisis affected the United States, and much of Europe, reflects different regulatory regimes, as well as different corporate governance systems, financial institution lending practices and different structures. Interestingly, in the halcyon years before the financial crisis, Canadian practices were often criticized in New York and London as being too conservative, too prudent and too unwelcoming of the new financial innovations that were sweeping global balance sheets.Read more at the Globe and Mail.
Saturday, May 29, 2010
Canadian Model Works
Many financial experts say that the reason Canada was shielded from the hard part of the recession was because of our regulations. If we had become more deregulated, we might have ended up like the US. It was the regulations that saved us. We do not need to lessen the rules in the economic sector, it works fine as it is. We need to keep our country this way to protect our country from future economic disasters.