It’s been said that if money is the lifeblood of the economy, the financial system is a network of veins threaded through the nation.
The financial system provides a place for people to invest and store their savings. It helps to channel funds into new businesses. It can also be used for speculation and in some cases, money-laundering.
With such a range of functions, how can we create a financial system that caters to the needs of customers and promotes productivity?
Sam is joined by Emeritus Professor Kevin Davis from the University of Melbourne to discuss who created our financial institutions and why; the surprising effects of financial regulation; and how Australia ended up with a few big, privately owned banks, and a huge decline in the number of mutually-owned credit unions.
