Notes &
The belief that appropriate regulation can ensure that speculative activities do not result in failures is a delusion… Anyone who proposed giving government guarantees to retail depositors and other creditors, and then suggested that such funding could be used to finance highly risky and speculative activities, would be thought rather unworldly. But that is where we now are.
The Consensus On Big Banks Begins To Move « The Baseline Scenario
h/t Prof. Katz
Could it be possible? Real reform of a completely twisted financial industry? Obama should jump on this train; there are few things that he could accomplish that would both be hugely popular and entirely correct than aggressive reform of financial regulation…
