Focus on change

We must all understand the evolution of the credit process in order to repair the damage done by the contraction

The credit market is big news, standing at the centre of today's global synchronised economic contraction. Hence, policymakers, economists, bankers and investors all need to understand the evolution of the credit creation process - the changing architecture of this market, the factors which allowed it to become so expensive and then became a driver of the contraction and the responses to try and repair it. This 'focus on change' approach - which seeks to understand what factors drive markets - has never been as useful as in today's volatile market conditions. Movements in the credit marke...