More regulation is not the solution for bad regulation

摘要

There have been three tragedies in the recent news that to most people would seem totally unrelated. I believe there is a common thread running through all three. First, we had the bank crisis and the subsequent bailouts. Now we have the Sen. Chris Dodd (D., Conn.) solution being debated in Congress ... a solution that would-guess what?-increase the regulation of banks, create a new department of consumer protection, etc. Banks were, and are, highly regulated institutions. When failure threatens, the political prescription is more regulation This is the medicine that failed us; why more of the same?