Reviewing the birth of the modern international financial system since its Bretton Woods roots, Professor Jan Kregel shows that the roots of today’s problems and imbalances were already present from the outset. In “The Clearing Union Principle as the Basis for Regional Financial Arrangements...

The purpose of the 1933 Banking Act-aka Glass-Steagall-was to prevent the exposure of commercial banks to the risks of investment banking and to ensure stability of the financial system. A proposed solution to the current financial crisis is to return to the basic tenets of this New Deal...