Tom Berner guest blogged for Sunshine Notes a report on regulatory reform and how it will change with the Obama administration. Berner notes two principles which should guide President Obama’s regulatory proposals.
1. You cannot improve or regulate the way the market system works, but most of the world economy operates in a bastardised form of market system where psychology and politics, institutionalized by the existing structure of the economy, alter the way the market functions.
2. The immortal Roman question, “Quis custodiet custodes?” (”Who will watch the watchdogs?”) should never leave President Obama’s consciousness.
Berner expands on both principles in his post. What do you think this will mean for the future of finance? We'd like to hear your thoughts.