An analytical eye (TT JulAug08 p30-31)

Deteriorating standards in lending up to mid-2007, particularly in the US, inevitably led to issues arising from the credit crunch, including bonuses and payments for failure, bank capital and base rate. This has had repercussions for the financial world which has been affected by rising complexity in increasingly interconnected markets. Unfortunately, greater transparency is not necessarily the answer: disclosure only works if you understand it.