International conference on ”Re-regulating Global Finance in the Light of the Global Crisis” Organised by International Development Economics Associates (IDEAs), School of Economics and Management, Tsinghua University, Beijing and School of Economics, Renmin University, Beijing, 9 -12 April 2009, Beijing, China.

Supported by Ford Foundation, USA and Action Aid, UK

 

International Development Economics Associates (IDEAs) in partnership with the School of Economics and Management, Tsinghua University, Beijing and the School of Economics, Renmin University, Beijing, China held the conference on ”Re-regulating Global Finance in the Light of the Global Crisis”, over 9-12 April, in Beijing, China.

The spread of financial crisis from developing countries in the 1990s to developed countries in the new millennium and the translation of the financial crisis into a deep real economy recession have raised the question of the adequacy of financial regulation and supervision in both national and global financial markets. The sub-prime mortgage crisis in the United States had global implications through its impact on financial markets and real economies in a number of countries, but most importantly because the regulatory and supervisory systems of developed countries have provided the pattern for best practice regulation recommended to developing countries in order to strengthen the resilience of their financial systems and to increase financial stability. If developed country regulatory systems are also subject to systemic fragility it raises the question of what the optimal system of regulation should be to ensure global stability and to meet particular financing needs such as those in developing countries.

The crisis has raised a number of issues. First, despite some agreement on the proximate determinants of the crisis, there is substantial divergence of opinion on ”root” causes, in particular the role of post-liberalization changes in regulatory structures in creating the environment that led up to the crisis. Second, there is disagreement on the appropriate set of policies-injecting liquidity, recapitalising banks, cutting interest rates or providing a fiscal stimulus (for example)-that would prevent the transition from a recession to Depression and trigger a recovery. Third, while there is a consensus that changes in the regulatory structures that govern finance are needed nationally and globally, with the concomitant creation of a new global financial architecture, the specific changes are hotly contested.

The conference, held over three and a half days, brought together academics, policy makers and practitioners from developed and developing countries. It had two policy plenary in which political representatives and leading policy makers participated, interspersed with academic sessions over these three and a half days.

The conference was supported by Ford Foundation, USA and Action Aid, UK.

The programme of the conference follows below with links to the papers /presentations.

Re-regulating Global Finance in the Light of the Global Crisis 
Tsinghua University, Beijing, China, 9-12 April 2009. 

(Click for the Conference Report)

April 9, 2009

9.00 am – 9.30 am

Welcome
Jayati Ghosh
Wu Dong
Leonardo Burlamaqui (Presentation)
John Samuel

9.30 am – 11.00 am

The Crisis and the Regulatory Challenge

Chair: Arturo O’Connell
Jan Kregel, ”Re-regulating finance: Using Minsky to Learn from the crisis” (Paper)    (Presentation)

C.P. Chandrasekhar ”Learning from the crisis: Is there a Model for Global Banking?”(Paper)    (Presentation)

Discussant: Dic Lo

11.30 am – 1.00 pm

Stabilising the International Financial System 

Chair: Yu Yongding 
Prabhat Patnaik, ”Excessive Liquidity Preference” (Paper) 

Yilmaz Akyuz, ”Stabilizing the International Financial System: Key Issues for Developing Countries” (Presentation)

Discussant: Michael Pettis

2.00 pm – 3.30 pm

Finance and the Real Economy 

Chair: Zhang Yu
Jayati Ghosh, ”The Unnatural Coupling: Food and Global Finance”
(Paper)    (Presentation)

Saul Keifman, ”Hello Global Financial Crash! Good-bye Financial Globalization?”(Paper)    (Presentation)

Discussant: Juan Carlos Moreno Brid

4.00 pm – 6.00 pm 

Public Panel on Policy Directions

Chair: Pasuk Pongphaichit
Jan A Kregel
Jomo K.S.   (Presentation)
Y.V. Reddy
Arturo O’Connell

April 10, 2009

9.30 am – 11.00 am 

Is Global Keynesianism Possible? 

Chair: Jomo K. Sundaram
Harry Shutt, ”Redistribution and Stability: Beyond the Keynesian/Neoliberal Impasse”(Paper)    (Presentation)

Massimiliano La Marca, ”The Global Economic Crisis: Systemic Failures and Multilateral Remedies” (Paper)    (Presentation)

Discussant: Martin Khor

11.30 am – 1.00 pm

Dealing with the Crisis 

Chair: Leonardo Burlamaqui
Mario Tonveronachi, ”Some Preliminary Proposals for Re-regulating Financial Systems” (Paper)    (Presentation)

Ping Chen, ”Three Dimensions of the Current Economic Crisis” (Paper)    (Presentation)

Discussant: Nobuharu Yokokawa   (Presentation)

2.00 pm – 3.30 pm

The Policy Response in Developed Countries 

Chair: Y.V. Reddy
Todd Tucker, ”The U.S. Response to the Crisis, and the Trade-Policy Blindspot” (Paper)

Carlo Panico, ”European Policy Reactions to the Financial Crisis” (Paper)

Discussant: Enrico Wolleb

4.00 pm – 6.00 pm

Public Panel on China 

Chair: Zhao Lei
Xu Jiangkang
Cui Zhiyuan
Zhao Changhui
Zhang Yu
Andong Zhu  (Presentation)

April 11, 2009

9.30 am – 11.00 am

The Nature of the Crisis 

Chair: Rashed Titumir
Zhao Lei, ”Crisis of Finance or Overproduction?” (Presentation)

Erinc Yeldan ”On the Nature and Causes of the Collapse of the Wealth of Nations 2007-08: The End of a Facade Called Globalisation” (Paper)    (Presentation)

Discussant: Praveen Jha

11.30 am – 1 .00 pm

Policy Responses in Developing Countries I 

Chair: Dashu Wang
Martin Khor
Hendri Saparini, ”Policy Response to Overcome Crisis: A Lesson from Indonesian Case” (Paper)    (Presentation)

Discussant: R. Ramakumar

2.00 pm – 3.30 pm

Policy Responses in Developing Countries II 

Chair: Terry McKinley
Juan Carlos Moreno, ”Mexican Economy Facing the International Crisis” (Paper)

Noemi Levy, ”High Liquidity and Reduced Finance: An Important Cause of Economic Recession in Developing Countries” (Paper)    (Presentation)

Discussant: Saul Keifman

4.00 pm – 6.00 pm 

Panel on New Directions in Regulation 

Chair: Jan Kregel
Yilmaz Akyuz
Prabhat Patnaik
Arturo O’Connell
Jomo K. Sundaram
YV Reddy
Yu Yong Ding

April 12, 2009

9.30 am – 11.00 am 

Special Session on New Initiatives for Governing Finance and Economic Justice
Leonardo Burlamaqui, Ford Foundation
Sandeep Chachra, Action Aid