My colleague Hunter Lewis has this to say about Paul Volcker –
“Volcker really cares about the poor and the middle class. He is also scrupulously honest, not a scintilla of cronyism or corruption in him. And he has even admitted that the financial system was actually more stable before the creation of the federal reserve.”
(From The Washington Post)
I am also well aware that when I ask about the prospects for reform, the almost-uniform response is “hopeless” — too many vested interests (including regulatory agencies accustomed to the status quo), too sensitive in terms of the jurisdiction of congressional committees and, like everything else in Washington, too heavily lobbied by particular private interests protecting their preferred agencies.
I was, to put it mildly, not born yesterday. I have observed, even been a small part of, some of the 20 and more failed efforts under both Republican and Democratic leadership since World War II to redesign the financial regulatory system. But I also know that, after all that has happened, resistance to some fundamental change is hard to justify.