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The cost of financial ignorance
- SkyMarshal 15y agoGood article by Hernando de Soto. TLDR: US and Europe forgot one of the primary lessons of the Washington Consensus which was used to stabilize the financial sectors and economies of the developed world the past ~20 years: Collateral ownership underlying debt assets must be well documented and publicly available. Without that, credit becomes untrustworthy and lending and financial markets don't work or are prone to failure.