All Things Related to the Finance Sector

Boring title, I know.

But before we digress ...

It seems to me that one of the premises of "Capital in the 21st Century" is the idea that when the accumulation of capital happens faster than the growth of an economy, we have increasing inequality.
Earlier on, I mentioned the NYT article indicating that the economy is not likely to return to normality any time soon. Well, Neil Irwin writes another NYT article discussing that Wall Street is back to normal.

The industry’s recovery is strong and broad enough to suggest that the great financial crisis of the early 21st century will have an effect different than its 20th-century counterpart did. In the aftermath of the Great Depression, the nation’s finance industry shrank severely — and remained in a humbled state for most of the next four decades. The economy boomed in this period, with no major financial crises and less income inequality than in recent decades.

This time, Wall Street has largely returned to a state more reminiscent of the go-go 2000s than of the middle decades of the 20th century. Average pay per full-time worker in the securities industry averaged 2.2 times that of the average American worker for the 70 years ended in 1999 and peaked at 4.2 in 2007. It has rebounded to 3.6 times as high in 2013, and looks likely to have risen further since then.

Here we can see that the accumulation of capital can still keep going for specific economic classes while the Americans who were affected by the enduring results of the financial crisis will still have to face the reality of what Tyler Cohen discusses.
If you are one of the Econ/Bus major planning to work for the finance sector, the good news is that fiance sector continues to hire and is no longer affected by the financial crisis.

On a more positive note (no tongue-in-cheek this time), People's Bank of China is considering greening its infrastructure, a movement that is considered by emerging economies like Brazil, Indonesia, etc. This move includes:

"Specialized investment vehicles to support green investment, domestically and internationally.

Fiscal and financial support, including interest subsidies for green loans, incentives for developing the green bond market and better mechanisms for green firms to communicate their environmental performance in equity markets.

New financial infrastructure, including carbon markets, a green ratings system and a green investor network.

Legal infrastructure, including clearer lender liability provisions, compulsory environmental liability insurance, and the disclosure of environmental information."

So perhaps we can look forward to better transparency within the international finance infrastructure in the future?