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Monoline Insurance: There's a New Sheriff in Town...

Unfortunately many monoline insurance managements, responding to apparent economic necessity, or because of greed and/or incompetence, engaged in reckless financial practices.

In retrospect, our financial institutions should have been subject to more intense, not less, regulation. In re-organizing our financial institutions the first requirement is to recognize that the competitive freedoms of the mercantile marketplace cannot be applied to the institutions that create our money, or protect our savings.

Our money and savings require a special fiduciary relationship on the part of commercial banks, and all other involved institutions. It cannot be fostered by deregulation. The scope of the operations of these institutions must be severely circumscribed and subject to rigorous and informed supervision.