Labor market flexibility Another factor that is often cited as a major element in the dynamism of the US economy is the extraordinary flexibility of our labor markets, especially in contrast to those of continental European countries.
The above reaffirms the need for intensifying supervisory/ regulatory efforts, at least in the short term, before self-regulation and market discipline stabilise in the country. In the interregnum it would be useful for the banks to take proactive measures on both, corporate governance and transparency / disclosure aspects. Following the Ganguly Report, issues of governance in the banking system have come to the fore.