Compared to 2008, the financial sector in Europe and the world has become safer. But there are new dangers that could trigger a crash – one more reason to heavily regulate banks.
The banking business is very complex, the danger elements are well hidden. That’s why the explosion often comes as a surprise and taxpayers have to step in. Only the bank managers remain rich. Admittedly, not all bankers fit the stereotype. But a look at financial history shows that things often follow this pattern. Therefore, credit institutions must be strictly regulated, rigorously monitored and calmly wound up in the event of a crisis.