My feeling here is that, if a player such as Enron is not under the control of regulators, it should be under tight market control exercised by analysts, accountants, shareholders and lending banks. If these endogenous controllers fail to be alert, they should be sanctioned in the form of monetary losses or regulatory constraints.
Argentina: hands-off approach coupled with official sector weakness Let me turn to Argentina. Here, the lessons are at the international macro-economic level. Not too long ago, Argentina was the focus of attention, though for very different reasons than now. In the early 1990s, “neo-liberal” economic reforms were implemented; hyperinflation was brought to a halt; the economy was progressively deregulated and privatised.