Re: Frank Partnoy's "Infectious Greed"
I'd agree that the banks have larlegy "captured" their regulators in this country. However, I am uncomfortable wih the idea that using derivatives is necessarily evil. Generaly speaking, there is almost nothing that you can do with derivatives that you cannot do without them. The use of derivatives makes things easier and cheaper to do, but they are hadly necessary. As for those wo get burned dabbling in things they don't understand, well, sometimes life deals hard lessons. So long as those holding the bag were not defrauded, I think it falls under the rubric of "you pays your money and you takes your chances". I can assure you that at the very least, the insurance companies should have known better.
"See their morals, their code, it's a bad joke. Dropped at the first sign of trouble. They're only as good as the world allows them to be. I'll show you. When the chips are down, these civilized people, they'll eat each other.
See, I'm not a monster... I'm just ahead of the curve."
- The Joker