Anyone reading our site knows that Financial Reform is nowhere and what has been passed can be described from Swiss cheese to who let the dogs out.
Well, well, us in the peanut gallery are not alone in that assessment and a bunch of experts are putting forth detailed policy proposals on what should happen. They are on a web 2.0 media campaign to get your attention and I will assume your support too.
A conference, put on by the Roosevelt Institute was held this week. The blog New Deal 2.0 has a host of videos, including the entire conference. They really are going all out on the web 2.0 stuff and even have a website, Make Markets Be Markets, just for their policy proposals and to get real financial reform.
Headed by Robert Johnson, with contributors including Elizabeth Warren and Simon Johnson, many of the policy proposals you've already read about here. The point is more political, we cannot get any financial reform. Now we have uber-experts, acting in concert, pushing for real legislation. Even Joseph Stiglitz has gotten into the act. This effort is assuredly something we need to help promote.
This group is also saying without financial reform, Economic Armageddon 2.0 will assuredly happen. We've been saying that repeatedly, and have backed up that conclusion with charts, graphs, statistics and swear words.
Their entire paper presentation is on the Make Markets Be Markets site, including policy components which must be enacted into law.
I recommend reading the resolution chapter and the derivatives reforms chapter. You'll need to skip to the bottom of each section to find the policy recommendations. I am not so convinced on the policies for Glass Steagall 2.0 and believe Volcker is more on this, along with Senate Bernie Sanders in terms of simply break up those financial institutions who impose systemic risk and isolate like a bad disease those elements which create the greatest contagion (derivatives).
That said, the point is to read their comprehensive (God, I hate that term, kiss of legislative death) reform proposals and most of all, you need to demand we get real financial reform. One final note, Stiglitz et. al are firmly pointing to derivatives as the area most needing regulation.
In my opinion, their derivatives reforms do not go far enough and I did not see a mention to regulate the mathematical models themselves as well as the technology. This is not good. Just because somethin's wrapped up in a big ole' nasty mathematical equation or requires someone to grasp Big O notation, don't make it less of a fraud and scam.
The entire conference seems to be on Ustream and the audio is full of distortions (hello, you can post process the audio and remove some of that with a little DSP magic folks!). If you have an EQ, noise filter, and settings you can improve it upon playback.
Here's the first one: