Deconstructing the Magic Money Tree – Episode 8
Bank Regulation, more bottom-up or more top-down?
Mike and David debate the need for regulation of banks and for rules separating the high street commercial banks from the speculative activity (ie gambling) of the investment banking sector. More broadly, they consider what is driving the risky behaviour of the banking sector. Is it lack of regulation or is it toxic regulations that amount to special privileges?
Once again the issues surrounding fractional reserve banking feature in this debate. But the discussion goes further into the murky world of investment banking, with securitised assets, derivatives and other exotic financial products. A world of fraud, gambling and financial fog.
How much much separation is needed, or even is possible. Can the real economy be insulated from the speculators? These questions and more are asked as the conversation hones in on more specific matters for the ongoing deconstruction of the magic money tree.
Disclaimer
The information provided by Stockatonia, via both the telephone as well as the Stockatonia websites, is prepared as general information and general information only. As a result, the information in question does not constitute a recommendation to either buy and sell or not to buy and sell, any items or products treated as securities or financial instruments under UK laws and regulations.
To the extent that it is necessary, you agree not to act directly upon any information made available via telephone contact with Stockatonia and its representatives, as well as online contact with Stockatonia and its representatives, without first consulting your own financial adviser or investment adviser.
To the extent that it is permitted under the laws of the United Kingdom, Stockatonia and its representatives can accept no liability whatsoever in relation to losses incurred by clients, prospective clients and members of the public where these losses have arisen out of action, or inaction, which has taken place as a result of any form of contact with Stockatonia or its representatives.
This may be contact carried out by internet-driven media, letters and materials which are sent by post as well as information conveyed by Stockatonia and its representatives via the telephone.
Share This Story, Choose Your Platform!
