The inconsistency in regulation is what accounts for the rise in the credit default swap market.
I think if you are going to regulate, you have to be really careful to trace through all of the consequences of regulation. If you see a financial innovation taking off like crazy, there is a good chance that it is being used to exploit a regulatory anomaly.
Excellent stuff, and more reason to consider that more regulation isn't always the answer.
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Love the London Underground post...no comment link there so saying so here.
iTunes next stop
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