Regulation: First off, thanks for the thoughtful response.
Second, I agree with a lot of what you say, but not all. For instance, while I don’t have a problem with tax rates reverting to Clinton-era levels, I’d also caution about using the phrase “tremendous prosperity”. Much of that prosperity was illusory and driven by the dot.bomb economy. This is not said to excuse Dubya’s excesses, which is another story entirely, but to take some dew of that particular lily.
Reinstating Glass-Steagal is an excellent idea. The story behind its removal reads like a Who’s Who of our present woes and the actors/players behind them.
I don’t think of us as a corporatist state, but one where there is excessive crony capitalism (as other posters astutely pointed out) and one where the regulations are either loosely enforced, selectively enforced, or not enforced at all.
Both GOP and Dems have been slopping at the trough for too many years now, and too many people at the “tippy top” are owed too many favors as a result.
I don’t agree that the Fed should be audited quarterly, and its already audited yearly. As a former accountant, I can tell you that having a quarterly audit schedule would completely disrupt operations and make document handling and administration unduly burdensome. I do think there should be more transparency within Fed operations, but you need to remember it isn’t a government operation.
Definitely do away with Fannie and Freddie, or change their charter and eliminate the implied “full faith and credit” aspect of the GSE relationship.
As to educating high schoolers on rent versus buy, I’d also recommend a complete semester on fiscal prudence, including how credit cards work (including interest and carrying charges), how to balance a checkbook, and how to buy or lease a car (including cost of funds and lease versus buy options). Most of the problems that adults get into in these areas is largely a result of ignorance as to how things work, financially-speaking. Its like why you don’t buy your groceries at a convenience store. If you don’t understand why you shouldn’t, you’re probably already in deep shit.
