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It is almost as if we should encourage and promoted smaller failure scenarios by reducing the existence of oligopolies or to use a more familiar term, to big to fail, organisations.
Definitely. Especially organizations deemed "too big to jail" as well as "too big to fail" and with a well-established habit of dodgy practices.
Unfortunately that also makes them sort of "too small to extort"; there are some very good reasons Dodd-Frank enshrined the "too big to fail" institution concept. I've only read some of the material on that bill in http://www.amazon.com/Extortion-Politicians-Extract-Money-Po... but I bet when I get to the details that's part of the reasons.

Jailing is only something ambitious DAs and Attorney Generals want to do; milking firms is where the money is for those already politically established.