Tuesday, June 23, 2009

Government action caused the economic crisis, not the free market.

Yet another accurate, truthful of how we got here, which I pointed out in a column myself, but Mr Randazzo just does it better:

"The core problem of the regulatory proposal is its view of the causes of the crisis. Everything is built on a belief that the market failed and that deregulation created a system of excessive risk and irresponsibility. Ironically, it was government action that created incentives for financial firms to be less risk adverse, not a lack of regulation. As Washington prepares to debate regulatory overhaul this summer, it is more important than ever to wrestle the myth of deregulation to the ground."

http://reason.com/news/show/134238.html

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