International finance cannot just be “fixed”, because the system is a tug-of-war between the global capital markets and national sovereignty. As cross-border financial flows have expanded and big financial institutions have far outgrown their domestic markets, finance has become one of the most globalised parts of the world economy. At the same time, finance is inherently unstable, so the state has to play a big role in making it safer by lending in a crisis in return for regulation and oversight.
The challenges are difficult. I am not confident the current leadership (if their is leadership globally) is capable of making the difficult decisions. There are not easy answers though their are some pretty basic principles people should agree on (excessive leverage is dangerous, massive positions that endanger entire economies are dangerous…). But how to deal with those issues is not easy.
Related: Leverage, Complex Deals and Mania – Treasury Now (1987) Favors Creation of Huge Banks – Monopolies and Oligopolies do not a Free Market Make – Negligent Watchmen