12-14-2020, 01:35 PM
(12-14-2020, 10:57 AM)Crazyjdawg Wrote: I also think deregulation has a negative impact on the economy over time, as corporations and banks (and some people, though their individual impact is negligible comparatively) find and exploit loopholes that have been opened to benefit personally at the expense of others (see: the 2008 recession).
Big tax cuts and deregulation have, generally, been the backbone of Republican presidential platforms so would it be fair to point towards those presidencies if their policies cause a recession? I personally think it would be fair.
Deregulation was the main cause of the economic crisis of 2008 yet less than a decade later rubes on thr right ere falling for the same "Regulations hurt the economy" BS.
The reason we had to spend billions of taxpayer dollars to bail out investment bankers after the housing bubble burst (SOIALISM!!!) was the lack of regulation on credit default swaps. They were basically insurance, but firms like Lehman Brothers were allowed to sale them with out enough capital to back them up. When they could not pay to cover the losses the result would have been the collapse of major corporate 401K funds as well as private IRAs all across the country. So to keep honest small investors from losing all of their retirement savings the government bailed out Wall Street
