February 18, 2011

About lights and regulations

Sir in “Regulating finance” February 18 you refer to “But the light is here”.

A fixed lamppost giving light is regulation, a regulator illuminating with a lantern where he thinks bank should go (like allowing for a 62.5 to 1 leverage whenever there was a AAA rating involved) that’s pure intervention. When will you grasp the difference between those lights?