Without strict regulations and oversight, this bailout will just set the precedent of having the public sector insure the private sector against bad debt. Instead of solving the problem it will create a greater incentive and reduce the risk for the crooked people who benefit from these schemes. In fact, it will normalize the behaviour.

Giuliani was interviewed yesterday and he said that the problem is too much regulation, and that the regulators were too focused on the regulations and did not see the overall picture. He also shrugged off the problem with the crooked people as saying that there are no more crooked people (by percentage) on Wall Street than there are in other professions, like medicine.

He has a lot of insight as a former prosecutor. However, he has his head up his ass if he thinks having a normal amount of crooked people on Wall Street, with all of that money around that belongs to others, does not require more regulation than in other sectors where the opportunity to steal that amount of money does not exist.

Throw a petty crook in jail for life for stealing 3 times, throw a Wall Street Crook a lifeline.

Bluenoser