Our border/illegal immigration mess is a case in point (or is it a point in case? -can never remember).

Half of our esteemed Members of Congress are lawyers -not good for the Republic.

Members of Congress are reelected at a rate somewhere North of 90% -not good for the Republic.

Justice, equity, accountability; these core aspects of a healthy society have been increasingly MIA.

Oh thats right, let us just make some more laws.

While there were many factors that combined to produce our current crises, deregulating, or loosening the former regulations on financial institutions and transactions are at the center of this meltdown. Paul in #7 above gives a nice summary of this, and correctly notes that both Democratic and Republican administrations foolishly loosened the financial regulations.

Then there were the exotic and new financial derivatives and insurance vehicles. These were so new, complex and high risk that they outpaced the the existing regulations that remained. And worse, no new regulations were put in their place. So the markets became an unregulated wild, wild west of extraordinary risks and unmitigated greed.

And yes, Canadian banks and financial institutions are more regulated, and thus have not suffered like the US’s. But our current crisis is so great, it affects and will affect most all-major world economies for quite some time.

What you were told about regulation was correct. And nothing underscores that more than today’s amazing testimony of former Federal Reserve Chairman, Alan Greenspan. A long-time outspoken proponent of free markets, and one to rarely ever concede a mistake, today he finally admits he was “partially” wrong. Now, the anti-regulation, ‘free-market man’ himself calls for tighter regulation of the financial markets.

”Former Federal Reserve Chairman Alan Greenspan called for tighter regulation of financial companies, distancing himself from the free-market culture that he helped to create.”

Greenspan, reiterated his “shocked disbelief” that financial companies failed to execute sufficient “surveillance” on their trading counterparties to prevent surging losses. The “breakdown” was clearest in the market where securities firms packaged home mortgages into debt sold on to other investors, he said.”

In his irrational exuberance for free markets, Greenspan somehow forgot that Greed needs to be regulated. Fortunately, he understands and admits it now. But it is a little late for the mess he made.

How we’re going to clean up the mess I have no idea. But I do think we’re going to have to try, and we’re going to have to err in the direction of too little regulation rather than too much.

Marianne — who hates the cruel things that happen in free markets, but fears the “socialized society” a lot more.

AMEN, AMEN, AMEN!

Obamacide.

Children who don’t Mind.

and my favorite;

Shadow of the Chicagomon.

And, if you’ve never read Orson Scott Card’s fiction you’re definitely scratching your head right now.

Fliterman, it may be easy for you to dismiss Card (and misspell his name) since he “only” writes science fiction, but he has been a social and political commentator for many years. He is also published many other places than his hometown newspaper, he just gives them the first shot.

I don’t always agree with Card, but I’ve been reading him for years and he always has a well thought out defense for each and every point he makes. But then, you wouldn’t notice that, because he doesn’t agree with you.

So, let’s try again … the general *party* (using the term loosely) line being that regulation is bad and the freer the markets, the better … wouldn’t you say at least part of this “crisis” was caused by degregulation? Okay, I get that some of it involved legislative moves to open credit to people of lower income who might not otherwise have qualified under legitimate income guidelines. But part of this was caused by too much deregulation, right? Hence, my previous comment/question about my banker telling me that the industry is more regulated in Canada and thus, although some of the same thing happened, it wasn’t as bad here. Agree/disagree/comment?

** Just as a side note, none that that really matters now, given that we will take the hit from what happened in the US anyway.