The lack of cooperation is part of the problem, not the solution:
While some measures are underway to reduce counterparty exposures, such as moving more activities to exchanges and centralized clearing, they don't appear to be far-reachign [sic] enough to change the architecture of the financial system. We've seen some evidence that the interconnectedness has increased, such as investors moving in massive herd-like "risk on, risk off" trades, and concerns that ETFs, which have become a favored trading vehicle for many investors, are a potential source of systemic risk. Yet tellingly, the Jackson Hole participants seem unwilling to recognize that the only way to reduce the risk of international hot money is to change the structure of the grid. For instance, a Reuters write-up of a Jackson Hole paper by one of France's former central bankers, Pierre Landau, worked through several ideas for alleviating the negative feedback loops of the unwind of what he called "more accommodative monetary conditions than warranted." Unfortunately, he concluded that it would be well-nigh impossible to get the political support for the needed national coordination.