The third principle focused on the need for wide-ranging structural reform to reduce rigidities and inefficiencies. This meant removing burdensome regulations and legislative restrictions and eliminating wasteful government expenditures and distortionary tax and subsidy systems. The fourth, and final, principle called for trade liberalization.
What type of financial integration and how (and by whom) can financial integration be furthered? Stating why we want integration gives us a huge clue as to what type of integration we want. Integration must be assessed first and foremost through the benefits effectively generated for users of these markets.