Business

Know government regulation, know moral hazard.

No government regulation, no moral hazard.

We have been reading quite a bit about rumors of governments trying to regulate crypto currency.  If and when they do, we will be told that it is for our own safety, of this I am certain.   We will also be told that the crypto currency markets are not capable of self regulation, of this I am also certain, so they will try to roll it up under the authority of the banks.  

Self regulation? Not effective?  

lol

While many in the 'resistance' have vociferously denounced the Senate tax reform bill in the last 48 hours, former Treasury Secretary Larry Summers took the proverbial biscuit by warning that "thousands will die as a consequence of this new tax bill."

The Congressional Budget Office estimated that the tax bill could reduce insurance coverage by 13m people, which to be conservative we can round down to 10m people.

 

The following article by David Haggith was published on The Great Recession Blog:

Judging by the market's euphoric reaction this morning, the Senate's passage of the tax bill on Saturday is nothing but good news for stocks (well, maybe not the Nasdaq). And indeed, banks - whose effective tax rate is around 30% - and other tax-sensitive companies are surging, with banks are outperforming and  sending the KBW bank index up as much as 2.8% to a fresh decade-high (BofA up as much as 3.9% to the highest since Oct. 2008; JPM up as much as 3.4% to record high; Citigroup up as much as 2.7% to highest since Dec. 2008).

Authored by Lance Roberts via RealInvestmentAdvice.com,