International financial regulation aims to ensure market stability from "summary" of International Money and Finance by Michael Melvin
In the realm of international finance, the primary goal of financial regulation is to maintain stability in the global market. This objective is crucial because market stability is essential for fostering economic growth and ensuring the efficient allocation of resources. Without effective regulation, financial markets can become volatile and susceptible to crises, which can have widespread and severe consequences for economies around the world. International financial regulation encompasses a set of rules and guidelines that govern the behavior of financial institutions and market participants across borders. These regulations are designed to mitigate risks, prevent misconduct, and promote transparency in the financial system. By establishing clear standards and oversight mechanisms, regulators aim to reduce the likelihood of financial crises and enhance the resilience of the market. One of the key functions of international financ...Similar Posts
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