15 August 2018 / Global
Consequences of 2008
When the 2008 financial crisis came, few thought the ensuing recession would have such long-lasting consequences. But 10 years later, the fault lines previously hidden in the economic structure have become clear. Every trading regime has gainers and losers. To maximise social welfare, those who gain from the benefits of free trade are expected to compensate those who suffer losses. Of course, no one is actually compensated; the losers simply adjust to their losing positions.