HONG KONG—During a sparkling guest lecture at the Erasmus University in Rotterdam on Monday, the Dutch Minister of Finance Wouter Bos confronted the origin of the present financial crisis.
According to estimates the Netherlands Bureau for Economical Policy Analysis released on Tuesday the Dutch economy will shrink with 3.5% in 2009, while the unemployment will be doubled by 2010. The world wide economical crisis and recession have a much greater impact on the Dutch economy than initially was anticipated.
“Do not only blame the fast boys in their pinstripe suits. Certainly the Bush administration, former Fed-president Alan Greenspan, all have trusted too much on the self-regulating ability of the financial markets. But what does this crisis tell us about ourselves?”
“A bank in Iceland only has to offer an additional half a percent of interest and hundred thousands of Dutch people all bring their savings over there. If consumers only want more and push the risks of their decisions to the background, then you are evoking this kind of behaviour from financial market participants” de Volkskrant reports Bos as saying,
“'Ultimately, the financial crisis is a moral crisis” Dutch media quoted Bos as saying.