Regulation In Addition To Competition

From taxis to banks, rule is rapidly captured to stifle competition. Only it's ordinarily polite non to order it out loud. Today's WSJ has a lovely niggling piece, Regulation is Good for Goldman confirming the quondam as well as violating the latter pattern.

the Goldman Sachs CEO explained how higher regulatory costs are crushing the competition.

“More intense regulatory as well as technology requirements accept raised the barriers to entry higher than at whatever other fourth dimension inwards modern history,” said Mr. Blankfein. “This is an expensive trouble organisation to last in, if you lot don’t accept the marketplace percentage inwards scale...

he said his banking company is “prepared to accept this human relationship alongside our regulators”—and the regulators are prepared to accept a deep human relationship alongside Goldman—“for a long time.”

.. it is odd to come across a fiscal CEO similar Mr. Blankfein dry reason the trial then candidly. Goldman tin afford to hire battalions of lawyers as well as lobbyists to commune alongside regulators... As ever, powerful regime mainly helps the powerful.

I accept met several people who started fiscal companies inwards the pre-Dodd-Frank era. They all order at that spot is no agency they could commencement their businesses now. Working out of the garage, you lot can't afford a multi-million dollar compliance department.