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Go deep enough into Banking mechanisms and regulation, you will find that loan securitization was/and is (nothing has really changed) a huge exploit on the regu
by neffy 11y ago
Go deep enough into Banking mechanisms and regulation, you will find that loan securitization was/and is (nothing has really changed) a huge exploit on the regulatory controls that had been developed around banking up to that point.
We, the public, respond to the signals provided by the monetary system. When that system malfunctions - and it is just as capable of being exploited as any other distributed system - the public behaviour is really the effect rather than the cause.
- branchless 11y agoI disagree. If you make credit loose some idiot will borrow and then everyone else is forced to bid against them. Similar for lending to all students for degrees. You know you don't need a degree to do a regular office job but because everyone else has one you know the recruiter will immediately bin your CV. Control is counter-intuitive. Most people would restrict credit. The establishment understand you hand it out like confetti. After all it's free.
- forgetsusername 11y ago>Most people would restrict credit. Like many things, most people would love to restrict it...for others. Of course, they alone would love to have the ability to borrow and lend as they see fit. Being able to extend or accept credit is a freedom, and it's misuse is part of that package. What's with the down-voting brigade?
- branchless 11y agoNo I want it to apply to me too.