Contributor(s): Professor Julia Black, Professor Charles Goodhart, Professor Michael Power, Dr Paul Woolley | The consequences of banks' risk taking behaviour will be felt by the public finances of many countries for at least another generation. Risk taking behaviour is the lifeblood of financial markets. How can, and should, it be managed? Julia Black is professor of law at LSE. Charles Goodhart is professor emeritus of banking and finance at LSE. Michael Power is professor of accounting at LSE. Paul Woolley is senior fellow at LSE's Paul Woolley Centre for the Study of Capital Market Dysfunctionality.