Q&A with Simon at The Atlantic

Daniel Indiviglio did a Q&A with Simon, mainly on financial regulation. Here it is.

(Sorry there isn’t much today . . . proofreading.)

By James Kwak

5 responses to “Q&A with Simon at The Atlantic

  1. Simon: By far the best set of recommendations for financial reform I’ve seen so far are set forth by John Hussman in his most comment on his website: http://www.hussmanfunds.com. I recommend that you print it as a guest post. PP

  2. Did anyone read the comments @ the Atlantic? The two I saw looked like shills for the TBTFs.

  3. markets.aurelius

    Speaking of shills:

    I have never heard or read anything this guy says that has any meaning. Everything that exits his mouth is such obvious, none-too-subtle psuedo-statement (a Vienna Circle reference Herr Dr. Ackermann should appreciate). Another sock puppet, who moves his mouth but says nothing.

  4. Herbert Abrams

    [ Altantic{ ..Is compensation getting too much attention or not enough?

    Compensation, particularly bonuses, in the financial sector are a symptom of a deeper problem - distorted incentives for big banks to take reckless risks. They reflect the real problem, but you have to deal with that problem directly "}

    Probably you have but it would be nice to see more on Simon's answer here. For the layman and all the world so see as it were. With some ideas what we the laypeople might do TOO.

    Herb

  5. “High deficits and runway debt lead to inflation…”

    I would disagree that high deficits necessarily lead to inflation. The experiences of Japan over the past two decades would be a good counter example to this assertion. The effect of the deficit and the national debt on inflation really depends on a lot of different things going on in the broader economy. IMHO, Professor Johnson’s categorical statement in the Atlantic interview is not justified. See here and here for more on the role deficit spending plays in the broader economy:

    http://bilbo.economicoutlook.net/blog/?p=381

    http://bilbo.economicoutlook.net/blog/?p=5762