In order to fully comprehend the recent financial crisis one must take into account emotions as well as mathematical models. But, especially, one must acknowledge a fundamental fact: the restoration of trust and the containment of risk require us to operate in a wide array of contexts that transcend finance. This book - which draws examples from a variety of sources: official reports, empirical research, novels, biographies, interviews, blogs - efficaciously argues this position as it tells the story of how the world economy has been brought to the brink of collapse. The new financial order is a proving ground for novel ideas that meet at the crossroads of law, economics, and psychology. The ensuing proposals and solutions will need to be useful not only for the world of business and finance and its democratization, but also for the entire community and a new generation of capitalism.
Francesco Vella teaches Commercial Law and Financial Market Law at the University of Bologna.