They spent years arguing that over-regulation will kill the goose that lays the golden egg. Now financiers and rating agencies have discovered that not only is there no golden egg, but the goose has already been cooked. Without more of the much-vilified regulation, the rest of the farmyard could end up in the pot too.
The timing of the annual IMF/World Bank meetings could not have been better, coming as they did just after the summer’s disorders and significant investment bank losses on sub-prime, leveraged loans and CDOs. A sombre mood prevailed in Washington, despite the firmer tone of financial...
