So, the Federal Reserve and the SEC have decided that unregulated markets are not all that they thought, so they are going to be more aggressive in regulations and making sure that financial dealings are more open.

The more interesting bit are the quotes from economist Barry Bosworth.

First he says that he thinks that the financial instruments are so complex that they may defy regulation (to which I say, “shut them down, then”):

“I think they are going to be forced openly to think about banning some of these instruments,” economist Bosworth said. He said that forcing banks to disclose some of their investments may simply lead them to pull out of certain markets.

So, some are so bad that they must be banned, and some are so toxic that they cannot stand up to public scrutiny.

Our financial system is a snake pit.