Prof Jagdish Bhagwati on Destructive Creation

To address the present global financial crisis Professor Bhagwati proposes in FT that we “need a truly independent commission of experts to look closely at each financial innovation and work out its potential downside. Keynes once wrote that the inevitable never happens, it is always the unexpected. This commission would be charged with trying to narrow the range of the unexpected. We do not have to be blindsided by downsides just because we lazily surrender to the euphoria of the Complex”.