campfireweekend
Member
That's hard to know ahead of time though isn't it? It could be as useless as glass steagall for the next crisis if it comes through a different channel.
Indeed it could. Financial innovations occur everyday. And if all we do is demonize wall street and refuse to learn how it works, we won't be able to keep up with the correct policy prescriptions for each situation.
You asked me a way to solve systemic risk.
I offered you one that would quantitatively reduce it using principles long established in economics.
Do you want a perfect solution? A magic bullet? Those don't exist. This is the real world.