This week, I read in the newspaper that we are out of the crisis … (famous last words!)
I was impressed by reading a booklet called ” The White Swan Formula” by James Featherby, ” rebuilding Business and Finance for the Common Good.” He writes, very honestly, as a London City financial expert, about the six lessons he has learned. They are:
1. We are more prone to temptation than we thought. If left to our own devices we often do not behave either rationally or well. Deregulation has proved unwise.
2. However, regulation alone is not suffıcient. Passing more laws does not deliver responsible behaviour any more than it delivers profıtable business.
3. We are not as clever as we thought. We have created structures we do not understand and cannot control, and we have realised that the future is more uncertain than we imagined.
4. The prosperity of each of us is more connected to the well-being of others than we thought.
5. Maximisation of shareholder value as a strategy for business has contributed to the problem, not solved it.
6. The market does not protect us from disaster and, when economic shocks do occur, the market will not save us.
He concludes …”These lessons have left us in uncharted waters with no reliable means of navigation. They have ignited, for the fırst time in a generation, real interest in discussing the best principles upon which to base national and international business and fınance. ”
You can download a pdf here. Worthwhile reading!