Regulatory solutions from Emanuel Derman

by Tyler Cowen December 30, 2009 at 5:13 pm in

I had a fantasy in which the Fed and the TSA (Transportation Security Administration) switched roles.

If a bank failed at 9 a.m. one morning and shut its doors, the TSA would announce that all banks henceforth begin their business day at 10 a.m.

And, if a terrorist managed to get on board a plane between Stockholm and Washington, the Fed would increase the number of flights between the cities.

The piece is here and the pointer is from Felix Salmon.