1. Explain the advantage and disadvantages of the globalisation of finance. How did it contribute to the global financial crisis?
2. Describe how the fall of AIG exemplifies contagion. How did the US government bail-out of AIG benefit foreign as well as US firms and investors? Experts are advocating increased regulation to prevent contagion. At the national and international levels, what types of regulation might prevent future crises? In a complex global financial marketplace, how can nations agree on the most appropriate regulatory reforms?