If you think the free market will solve this problem, think again. Banks can provide these super-risky loans and then sell them off to the highest bidder immed

If you think the free market will solve this problem, think again. Banks can provide these super-risky loans and then sell them off to the highest bidder immediately thereafter. Improving next quarter's earnings and passing on the risk to someone else (e.g. hedge funds managed by fools). If you think that problem sounds familiar it's because it is: It's exactly what caused the last financial collapse. Nothing has changed in terms of regulating the risks inherent in the "free market".