Comments on: Kuttner on the Meltdown http://www.concurringopinions.com/archives/2008/09/kuttner_on_the.html The Law, the Universe, and Everything Tue, 14 Feb 2012 05:18:12 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Bill http://www.concurringopinions.com/archives/2008/09/kuttner_on_the.html/comment-page-1#comment-47197 Bill Thu, 18 Sep 2008 19:14:35 +0000 http://www.solove.org/archives/2008/09/kuttner-on-the-meltdown.html#comment-47197 <blockquote>Enormous campaign contributions from the financial services industry helped assure regulatory lethargy.</blockquote> So this is an indictment of laissez-faire capitalism? Sounds more like an indictment of "crony capitalism" where regulations have become ad hoc based on your ability to buy a piece of centralized power. <br /> The fact of the matter is that the market process is working because failure is part of that process. This failure process is extremely painful now because of the magnitude of the recent bubble. And until someone takes a serious look at monetary policy and the role of the Fed, we will not solve this problem. <blockquote>We need to get back to investing in our future and not just betting on it.</blockquote>Sounds noble, but how are you going to determine which investments are the correct ones?

Enormous campaign contributions from the financial services industry helped assure regulatory lethargy.

So this is an indictment of laissez-faire capitalism? Sounds more like an indictment of “crony capitalism” where regulations have become ad hoc based on your ability to buy a piece of centralized power.

The fact of the matter is that the market process is working because failure is part of that process. This failure process is extremely painful now because of the magnitude of the recent bubble. And until someone takes a serious look at monetary policy and the role of the Fed, we will not solve this problem.

We need to get back to investing in our future and not just betting on it.

Sounds noble, but how are you going to determine which investments are the correct ones?

]]> By: Jack S. http://www.concurringopinions.com/archives/2008/09/kuttner_on_the.html/comment-page-1#comment-47196 Jack S. Thu, 18 Sep 2008 09:59:09 +0000 http://www.solove.org/archives/2008/09/kuttner-on-the-meltdown.html#comment-47196 Perhaps the reform should be rephrased not as "more government" but as "less complicated, but more effective government". I'm not expert on banking and finance regulation, but from my experience with FCC and telco regulation, we'd probably be better off by throwing the whole lot out and starting over from scratch. I find that the argument of "it's too complicated to change it" has most of it's basis in that the system is so broken that it can't be fixed by grafting on new regulations. Perhaps the reform should be rephrased not as “more government” but as “less complicated, but more effective government”.

I’m not expert on banking and finance regulation, but from my experience with FCC and telco regulation, we’d probably be better off by throwing the whole lot out and starting over from scratch. I find that the argument of “it’s too complicated to change it” has most of it’s basis in that the system is so broken that it can’t be fixed by grafting on new regulations.

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