July 29, 2009

After the crisis, a call for drastic reforms

Harvey Schachter | The Globe & Mail

Yvan Allaire and Mihaela Firsirotu aren’t the kind of people you would expect to find railing against the dangers of modern capitalism and proposing a major overhaul. Mr. Allaire is an emeritus professor of management and former senior executive of Bombardier Inc., while Ms. Firsirotu is a respected professor of business strategy at Université du Quebec a Montréal.

But in a just-published book they despair that, while the financial crisis should have been a eureka moment leading to major changes in our capitalist system, it will likely just face away without a fundamental assessment of its causes and what reforms those demand. Influential players will seek to preserve the status quo in a slightly modified form, with a pinch of regulation and a drop of oversight added to the mix. ”Until more fundamental changes are implemented, our societies will continue to operate under the dominion of financial operators who will find ways and means to circumvent regulations or use them to foster their interests,” they write in Black Markets…and Business Blues.

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