As the global economy continues to weather the effects of the recession brought on by the financial crisis of 2007–08, perhaps no sector has been more affected and will be under continuing pressure to change than the financial services industry, where the crisis originated. As we seek to rebuild our financial industries, certain questions come to mind. For example, should we regulate executive pay of financial institution executives to control risk taking? That possibility certainly has been raised in official circles, with spirited reactions from all corners. How will stepped-up regulation affect key parts of the financial services industry? And what lies ahead for some of the key actors in that industry—commercial and investment banks and hedge funds—in both the United States and Japan?
In After the Crash, noted economists Yasuyuki Fuchita, Richard Herring, and Robert Litan bring together a distinguished group of experts from academia and the private sector to take a hard look at how the financial industry and some of its practices are likely to change in the years ahead. Whether or not you agree with their conclusions, the authors of this volume—the most recent collaboration between Brookings, the Wharton School, and the Nomura Institute—provide wellgrounded insights that will be helpful to financial practitioners, analysts, and policymakers.