Reconnecting the Financial Sector to the Real Economy: A Plan for Action

Authors

Edward J. Waitzer, Osgoode Hall Law School of York UniversityFollow
Douglas Sarro

Document Type

Article

Publication Date

Fall 2014

Source Publication

Rotman International Journal of Pension Management. Volume 7, No. 2 (2014), p. 28-36.

Keywords

Collaboration Strategies, Fiduciary Law, Financial Sector Reform, Pension Fund, Social Utility

Abstract

Informational asymmetries, misaligned incentives, and artificially elongated chains of intermediation have created a disconnect between the financial sector and the real economy that is detrimental to the public interest. Courts and regulators are increasingly intervening to break the cycle. Fiduciary law offers a conceptual framework both for understanding and responding to this trend. This article argues that the financial sector, rather than waiting for this trend to develop and reacting to new rules in a piecemeal way, should be proactive and shape the way in which the trend develops.

Comments

Also available on SSRN.

Repository Citation

Waitzer, Edward J., and Douglas Sarro. "Reconnecting the Financial Sector to the Real Economy: A Plan for Action." Rotman International Journal of Pension Management 7.2 (2014): 28-36.