In September 2008, after Lehman’s bankruptcy, money markets virtually seized up, financial losses rose rapidly and a process of deleveraging set in. Financial stress spilled over to the real economy with a sudden and very severe impact on trade and growth. This led to the global financial crisis. How can financial markets be made sound again?
This question raises many issues which I have not time to address here today but are fundamental, like:   how can a better pricing of risk be insured?   how can asset price bubbles be detected and corrected in time?   how can procyclicality of financial markets be attenuated?