By

BCF

The Crisis with Russia

OVERVIEW

This edition is a collection of papers commissioned for the 2014 Aspen Strategy Group Summer Workshop. On the occasion of the 30th year anniversary of the Aspen Strategy Group (founded in 1984), the Summer Workshop in Aspen, Colorado convened a nonpartisan group of preeminent U.S.-Russia policy experts, academics, journalists, and business leaders. The group's policy discussions were guided by the papers found in this volume, whose scope ranges from exploring the history of the U.S.-Russia relationship, current developments in the Sino-Russian relationship, the NATO and European responses to Russian aggression in Eastern Europe, energy considerations, areas of potential U.S.-Russia cooperation, and finally, the broader question of U.S. national security and interests in the European region.

Fixing Global Finance: Unfinished Business

 

The 2008 financial crisis was hugely damaging. The focus of reform has been on increasing banks’ required capital. Together with the other measures taken, this makes a repetition of 2008 less likely. However, the crisis also taught us that financial markets do not work as well as we thought. Financial innovation has made the markets more volatile, short-term focused and more pro-cyclical. Not much has been done to address this issue. This paper suggests that the government-guaranteed banking sector should be separated much more clearly from the rest of the financial sector, which should be more explicitly identified as a risky sector. This separation would change the way the financial sector is managed (with conservative management returning to the banking sector). Such beneficial changes would reduce the size of the financial sector, which currently attracts too many of our best brains.

Sino-Japan Ties: Progress at the APEC Summit?

Synopsis

While the visual impact of the meeting between Xi Jinping and Shinzo Abe was uninspiring, the communiqué regarding the disputed East China Sea islets is a positive step. The test of success, however, will be to see what effect it has on the two countries’ rhetoric and behaviour.

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