CONCLUSION

WHAT MUST BE DONE

Because of the federal government’s current War on Economic Reality, we can anticipate that every major financial event in the next few years, good or bad, will be a pretense to increase government control over the economy. If a large bank enjoys windfall profits one quarter, that will provide a pretense for government action. If the bank loses billions of dollars on a bad investment, that too will provide a pretense for action. All of this will be camouflaged with crackdowns on some genuinely bad actors. But if you know what to look for, you will see an inexorable tightening of the bureaucratic ratchet at every opportunity.

The good news is that we still have a system that can respond, though with increasing difficulty, ...

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