Shadow banking and leaking SIVs | vox - Research-based policy analysis and commentary from leading economists: "In the aftermath of the global crisis and as the turmoil in the sovereign debt market continues, this column argues that policymakers need to get the shadow-banking sector in order if they are to restore confidence in global markets.
The decimation of shadow banking that began in summer 2007 set in motion the crisis that has since engulfed the global economy. A much-maligned culprit in this process has been the shadow-banking sector. Despite significant shrinkage due to the crisis, shadow banking still represented, in 2010, more than half of outstanding liabilities in the global financial system (Pozsar et al. 2010)."
2 years ago