MuskogeePhoenix.com, Muskogee, OK

Opinion

April 14, 2014

Regulation needed to stop abuses

Responsible regulation of the financial sector is essential to prevent abuses that led to the collapse of our economy in 2007.

The Associated Press reported last week that the United States has finally replaced the 8.8 million private-sector jobs we lost during the Great Recession.

That downturn was at least the second financial crisis caused by irresponsibility and risky behavior by the financial sector since we started deregulation.

In both cases, the Great Recession and the savings and loan crisis of the late ’80s and early ’90s, lax regulation allowed manipulation, fraud and risky behavior that made a lot of money for a few. Their behavior resulted in great cost to the economy as a whole. In both cases, the government stepped in and taxpayers absorbed huge costs.

The economy is still sluggish. It took us seven years to replace the jobs lost. The population has grown, so we still are not back to where we were.

Our economy is vulnerable to the financial sector. Many who caused the damage made money and suffered little, while the rest of us bore the cost.

Excessive regulation stifles growth. We were clearly overregulated in the ’70s and do not want to return to those days. But good financial governance is necessary to limit the industry’s ability to crash the whole economy.

Responsible regulation is needed to ensure the soundness of the system.

1
Text Only
Opinion
AP Video
US Airlines Cancel Israel Flights Obama Signs Workforce Training Law Crash Victims' Remains Reach Ukraine-held City Diplomatic Push Intensifies to End War in Gaza Obama Offers Condolences at Dutch Embassy Cat Fans Lap Up Feline Film Festival Raw: Lawmakers Scuffle in Ukraine's Parliament The Rock Finds His Inner 'Hercules' Michigan Plant's Goal: Flower and Die Raw: MH17 Passenger Remains in Kharkiv, Ukraine Raw: Israel Hits Gaza Targets, Destroys Mosques ShowBiz Minute: Hoffman, Oberst, Box Office WWII Vet Gets Medals, 70 Years Late Raw: Israel Bombs Multiple Targets in Gaza Veteran Creates Job During High Unemployment Raw: Cargo Craft Undocks From Space Station Widow: Jury Sent Big Tobacco a $23B Message New Orleans Plans to Recycle Cigarette Butts UN Security Council Calls for MH 17 Crash Probe Obama Bestows Medal of Honor on NH Veteran
Poll

Should a federal judge have the power to strike down Oklahoma's ban on gay marriage?

Yes
No
     View Results
Featured Ads
Parade
Magazine

Click HERE to read all your Parade favorites including Hollywood Wire, Celebrity interviews and photo galleries, Food recipes and cooking tips, Games and lots more.
Stocks