But we in North America have also learned over the past two years, in a rather painful way, that issues of corporate governance are extremely important as well. So when we think of legal structures, we should now also think about high standards for accounting, transparency in corporate reporting, and adequate enforcement of the rules.
The second lesson we have learned is that our fiscal policies must always be based on prudence. When public debts are allowed to mount unabated, the trust of investors and citizens can vanish quickly. In its place comes fear that the debt will either be inflated away, or that a future government may default.