Thursday, January 07, 2010

Paul Ryan, Round 3

Ryan responds to the WSJ article by Tom Frank.

...Thomas Frank’s column fails to distinguish the protection of large, established corporations with the promotion of free markets. The role of the government is not to help one company vanquish its competition. As I write in the Forbes piece, “The government does not have a stake in the fight between David and Goliath — our only concern is to make certain that it is a fair fight.”

Sounds good to me!

Our financial regulatory system needs to be modernized, emphasizing accountability, transparency, and clear and enforceable rules that minimize moral hazard. A slew of regulatory agencies with thousands of employees didn't see the financial crisis coming. Adding new agencies, expanding their missions, and having the government double down on the crony capitalism that precipitated this crisis adds dead weight to the economy and expands, not reduces, the risk of future crises.

True. Neither the Fed, the FDIC, the Comptroller of the Currency, nor the SEC (nor, for that matter, the State bank regulators) saw the bank crisis coming. Gee! All those regulators, and not a single "HEY!! The barn's on FIRE!!"


1 comment:

Steve said...

Jonah Goldberg writes: I’d look to young political chefs like Rep. Paul Ryan (R., Wisc.). He’s been the leader in attacking “crony capitalism” — the corrupt merger of big business and big government, a hallmark of the Obama administration. For too long Republicans confused supporting big business with supporting free markets, when big business is often the biggest impediment to fair competition.