Professor John Kay FBA
Visiting Professor of Economics
London School of Economics and Political Science, University of London
What does finance do for the real economy?
6pm and 8pm, Tuesday 28 June 2016
The financial world today trades principally with itself, and talks to itself in a language it has constructed for itself. It has become more and more preoccupied with intra-financial sector trading, and increasingly disconnected from the needs of the real economy.
We need a financial sector - to make and receive payments, to enable us to manage our wealth over our lifetimes and pass it on to subsequent generations, to allocate capital to efficient users, and to help mitigate the risks of everyday life. In this talk, I will discuss how to rebuild a financial sector that deserves the trust and confidence of the public and better meets the needs of users of financial services.
The need is not for more regulation - regulation has become part of the problem rather than part of the solution. We want a different regulatory philosophy, which focuses on the structure of the industry and the nature of personal and corporate incentives, not on the prescription of detailed rules.