The Ethics of Banking

Conclusions from the Financial Crisis

  • Peter Koslowski

Part of the Issues in Business Ethics book series (IBET, volume 30)

Table of contents

  1. Front Matter
    Pages i-xv
  2. Foundations of Business and Finance Ethics

  3. The Ethical Economy and Finance Ethics of the Markets for Credit, Capital, Corporate Control, and Derivatives

  4. Financial Wagers, Hyper-Speculation, Financial Overstretch: The Financial Market Crisis of 2008

  5. Back Matter
    Pages 197-214

About this book

Introduction

This book analyzes the systemic and the ethical mistakes that have led to the financial crisis of 2008. It explores the middle ground between the argument that financial managers cannot be expected to take responsibility for a systemic crisis and the argument that moral failure is the one and only origin of the crisis. The book investigates the role of speculation in the formation of the crisis. It distinguishes between productive speculation for hedging and for securing market liquidity on the one hand, and unproductive and even detrimental hyper-speculation, on the other. The book argues that hyper-speculation goes far beyond the degree of speculation that is necessary for the liquidity of financial markets in a developed economy, and has thus increased the risks of the financial system and will continue to do so. This book offers an ethics of banking and an ethical economy of the financial markets to counterbalance the financial industry’s purely economic approach.

Keywords

Banking Banking Crisis Banking Derivatives Banking Ethics Banking Regulation Business Ethics CSR Corporate Governance Corporate Social Responsibility Derivatives Economic Meltdown Financial Crisis Financial Derivatives Financial Turmoil Global Banking Crisis Greed Hyper Speculation Hyper-Speculation SRI Socially Responsible Investment Wealth

Authors and affiliations

  • Peter Koslowski
    • 1
  1. 1.Department of PhilosophyVU University AmsterdamAmsterdamNetherlands

Bibliographic information

  • DOI https://doi.org/10.1007/978-94-007-0656-9
  • Copyright Information Springer Science+Business Media B.V. 2011
  • Publisher Name Springer, Dordrecht
  • eBook Packages Business and Economics
  • Print ISBN 978-94-007-3592-7
  • Online ISBN 978-94-007-0656-9
  • Series Print ISSN 0925-6733
  • About this book