New York City

No matter how many regulations or internal fail-safe systems an organization or a government puts in place, preventing systemic economic collapses means challenging peoples’ worst instincts, attendees at an enterprise risk management conference were warned.

Following a wide-ranging panel discussion of the financial meltdown and its implications for corporate governance–titled, “A Conversation About Risk: What Keeps You Up At Night?”–an audience member asked the experts to explain how companies and regulators can mitigate “people risk” to discourage behavior that is at best reckless, and at worst unethical or even illegal, when the potential for large profits looms.

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