How do you stop people/companies from doing something bad/ignorant/stupid which fucks up life for the rest of us (and, sometimes, the perps themselves)? Two examples from recent news provide some insight.
The Volker Rule, watered down as it is.
Shawn Thornton's 15 game suspension.
In both cases, crimes (or misbehaviour, if you prefer) are punished after the fact. The better way is to modify the incentives to behave badly. In the case of Volker, and financial sector regulation generally, is to end the veil of protection afforded corporations. The Supremes have already decided, by what logic I don't follow, that corporations are somewhat persons. Well, just as parents of juveniles are responsible for the bad behavior of their minor spawn, so corporate officers are responsible for the corporation's bad doings. To the slammer, do not pass GO, do not collect $200.
In the case of NHL hockey, set the rule: a minor penalty is now four minutes, and the offended player chooses which player on the offending team warms his ass in the sin bin. Change the incentives.
The movie "The Wolf of Wall Street", from the book of the same name, and a semi-accurate, semi-autobiographical tale of astounding evil is in the adverts now. Intended, so it appears, to make the working stiff retch at what the cunning and devious can garner. Albeit, this guy did get caught. Coming to a theater near you soon. Of course, the powers that be don't really want to adjust the incentives, since they'll be trotting through that revolving door soon enough. Don't want to endanger The Big Pay Day.
It's the Distribution, Stupid
Essays on topics economics: monopolists, oligopolists, and oligarchs aren't better decision-makers for the society just because they's rich and they ain't the gummint.
Infinite granularity yields infinite complexity.
Vaccinated ≠ Not Infectious
$536,800,000 MARF™(party like it's 1829)
-- New York Slammers, so far/2024 [GA and The Feds still to come]
Milton was going on about the money supply, so what I said was everything reminds Milton of the money supply. Everything reminds me of sex, but I try to keep it out of my written work.
-- Robert M. Solow, 1924-2023 [Dr. Hemond noted that he made his fortune in the stock market]
-- New York Slammers, so far/2024 [GA and The Feds still to come]
Milton was going on about the money supply, so what I said was everything reminds Milton of the money supply. Everything reminds me of sex, but I try to keep it out of my written work.
-- Robert M. Solow, 1924-2023 [Dr. Hemond noted that he made his fortune in the stock market]
Covid-19 has killed at least
1,123,836 people (as of 20 March 2023, final update)
Buck {Showalter] has always reminded me of something his father once told him:
"The jobs that are easy don't pay very well."
-- Mike Lupica/2023 [and don't qualify them to run anything; sub-GED knuckledraggers take note]
-- Mike Lupica/2023 [and don't qualify them to run anything; sub-GED knuckledraggers take note]
-- Monticello.org [take that, MTG]
-- Marriner Eccles/1951
This week's thought
[The intelligence community] argued that [the restrictive amendment] would cripple the program because they typically use it before there is enough evidence to meet a standard of probable cause for a warrant, like early in investigations when they are trying to learn more about a phone number or an email account found to be in contact with a suspected foreign spy or terrorist. -- Charlie Savage/2024 [IOW, let's catch the thief before the horse is out of the barn - the MARF™(party like it's 1829) traitor's worst nightmare]
About Me
Who I Am
Left wing economist since before it was fashionable
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