Dr. C., you have much more confidence than I do in regulators to put in place “…stricter underwriting and sober credit risk understanding…” that allows prudent but profitable risk taking/lending.
I’m no bank officer nor regulator, but c’mon, the FSLIC sure didn’t prevent the S&L crisis, nor has the FDIC prevented silly lending by our banks this time around.
Nah, the only thing that works is for smart, experienced folks to have their own money at risk. That’s called ‘equity.’
