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ERM frameworks [54]

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Bullet points include: Banks, insurers and other market participants (e.g. hedge funds) can be involved in many different types of activities, e.g. Bank-assurers, AIG and credit derivatives, mono-line insurers who insured bonds against credit deterioration. Money market funds, especially ones that invested in SIVs. Investment vs. commercial banking, proprietary vs. agency trading. Governments (and economists) also worry about inflation, and the loss of confidence in ‘money’ that it can create. Especially hyper-inflation, e.g. Weimar Republic. Historians remind us that major past social upheavals have often been fermented by economic disasters

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