In the wake of the 2008 finan­cial crisis, the con­ven­tional wisdom is that finan­cial mar­kets need to be more tightly reg­u­lated. That is cer­tainly true, but the problem is as much about who is doing the reg­u­lating as it is about the reg­u­la­tions themselves.

The 2010 Dodd-​​Frank Wall Street Reform and Con­sumer Pro­tec­tion Act rep­re­sents America’s biggest finan­cial reg­u­la­tory reform since the Great Depres­sion, but its suc­cess will ulti­mately depend on having com­pe­tent and honest reg­u­la­tors who cannot be com­pro­mised by lucra­tive employ­ment oppor­tu­ni­ties dan­gled by the regulated.

The dom­i­nant global finan­cial players’ failure to rein in their greed set the stage for the last eco­nomic crisis, and it was hardly the first time; under-​​regulated mar­kets went on a mur­derous rampage.

Read the article at Patriot Ledger →