Wednesday, January 18, 2012

On Regulation

"[G]ood regulation should take account of our rather extreme ignorance. That means emphasizing the more general protections, as embodied in a ready supply of safe liquid assets, rather than obsessing over the regulatory micromanagement of particular bank activities."


-- Tyler Cowen, in The New York Times ("From the Fed, a Shield Against Europe," Dec. 24, 2011)