Corporate governance causes of the global financial crisis

Publication Type:
Corporate Governance and the Global Financial Crisis, 2011, pp. 28 - 49
Issue Date:
Full metadata record
Files in This Item:
Filename Description Size
Ch.pdfPublished Version2.4 MB
Adobe PDF
© Cambridge University Press 2011. This chapter seeks to penetrate the catastrophe of the global financial crisis to examine its specifically corporate governance causes. The origins of the crisis in the enthusiasm for deregulation of financial institutions and markets, and the rapid growth of securitization, are explored. The huge explosion of global derivatives is considered as the context in which risk management and corporate governance were abandoned by major financial institutions. The role of the rating agencies and of executive incentives in encouraging rather than managing risk is investigated. Finally, the international effort to coordinate a regulatory response to the crisis is considered.
Please use this identifier to cite or link to this item: