Samuel Cashiola

How High Leverage Has Brought Down the Whole Banking Industry

the government shouldn't be regulating at all. if no bank learns from its past mistakes and this happens again then they should be allowed to fail (again). the banks shouldn't be dealing with products incalculable (at least to them) risks. let the strongest entities survive. don't hurt them by bailing out the weak entities that made poor decisions and allowing the them to survive.

people won't learn anything if they're just going to get bailed out.

did anyone ever have that friend who drove a nicer (and possibly faster) car than everyone else that normally sped? when they received a ticket for speeding they were mad because it surely wasn't their fault. when their parents paid off that ticket they forget and started speeding again as if nothing happened? while obviously not entirely the same our current financial situation isn't that much different.