In his 1962 book, “Structure of Scientific Revolutions”, Thomas Kuhn argues that when evidence against a prevailing scientific theory piles up, that theory is jettisoned and a new one is adopted signalling a paradigm shift.
As we contemplate the lessons of the crisis, the questions that arise are what is the evidence against the old model of central banking and regulation, and what is the new model. What is the paradigm shift required? I will position my speech this afternoon on some of the issues in this paradigm shift. II.