An Enron Protector
After Enron and other scandals, Congress passed Sarbanes-Oxley, a typical “catch a crook” law that adds cost and solves little. Government’s own failure to control currency and credit for the general welfare allowed these disasters to happen. Only by limiting easy credit can they be prevented.
This has been the cause for every business cycle because your government treats money needed for job growth the same as money used for speculation. Why? Concentrated wealth concentrates political power; the former corrupts capitalism, the latter corrupts democracy by writing rules that privilege the few.
When government’s mission becomes truly the protection of jobs and pensions, it will use bank regulation to encourage job growth and limit risky speculation. When companies are required to project cash requirements for three years, the lack of control of speculation will become apparent and the brakes applied by increasing the cost of money and bank reserves.
Wage earners should demand that their elected representatives and money managers limit easy credit to protect jobs and pensions.