138: How Global Finance is Making Us All Poorer – Nicholas Shaxson

Nicholas Shaxson is a renowned financial journalist from Germany who authored the book, The Finance Curse: How global finance is making us all poorer. He is a journalist, campaigner, and world expert on both tax havens and financial centers, as well as the resource curse. His writing has appeared in Vanity Fair, the Financial Times, the Economist, the Economist Intelligence Unit, and many others. On this episode, Nick talks about his take on the issues in the economy based on his experiences. He shares his insights about the schemes in the business industry which poses a great danger to the economy and democracy. During the discussion, he delves into the paradox of financialization to a country and enlightens the listeners to the idea of monopoly and imbalance to the business. This episode reveals the problems that an investor may encounter in the business industry. Where we are: Johnny FD - Sri Lanka Sam Marks - North Carolina Links: Book - The Finance Curse by Nicholas Shaxson Sponsor: AutomationFinance.com/Boss Time Stamps: 07:44 - How Nick conceptualized ideas for his book 13:51 – What are the impacts of the financial curse to a country? 16:18 – Understanding the financialization of an economy 19:23 – How monopoly is related to the corporate imbalance 24:41 – The harms that tax haven bring to a country/state 28:09 – Downsides of investing to a private equity 30:17 – “Private equity is a profitable business but the problem is that they make very high internal returns” – Nicholas Shaxson 35:30 – Difference in banking system between the UK and USA 38:15 – How powerful people control the market and the economy of the country 40:25 – Most corrupt and rotten banks in the history 44:15 – “I’m a strong believer that tax havens have been a very negative problem for the world economy; and similarly, finance being too big is something that I would like to change” - Nicholas Shaxson 50:53 – The problem of a growing company If you enjoyed this episode, do us a favor and share it! Also if you haven't already, please take a minute to leave us a 5-star review on iTunes and claim your bonus here!  Copyright 2020. All rights reserved. Read our disclaimer here.