Re:The real cause of the financial crisis -- An MIT Blackjac...
by kqr2 on Wednesday January 14, 2009 @02:38PM
(#434130)
He doesn't take into account the misguided financial policy of the Federal Reserve as well as deregulation measures.
Perhaps the SEC needs to act more like the FDA. Before new financial instruments are allowed to be sold to the public, they need to be vetted and understood.
Drugs are complex and drug makers would love to release their drugs early in order to make a profit. However, as a society, we realize that would be detrimental.
Regulation of financial instruments perhaps would stifle financial "innovation", however, it would hopefully help prevent the spread of toxic instruments as well.
Perhaps the SEC needs to act more like the FDA. Before new financial instruments are allowed to be sold to the public, they need to be vetted and understood.
Drugs are complex and drug makers would love to release their drugs early in order to make a profit. However, as a society, we realize that would be detrimental.
Regulation of financial instruments perhaps would stifle financial "innovation", however, it would hopefully help prevent the spread of toxic instruments as well.