May 11, 2012
All Hail Harsanyi!
JPMorgan Chase lost $2 billion due to some reckless trading of synthetic credit securities. Chief executive Jamie Dimon blamed "errors, sloppiness and bad judgment." JPMorgan Chase earned $19 billion last year so this won't sink them. And, as one might expect, many folks immediately blamed the lack of regulation for the loss -- because, apparently, some people believe the market should be risk free. And actual, isn't this a great argument not to layer the industry with more regulatory burden? (Unless, of course, there was something illegal going on.) Sloppiness and bad judgment should cost you money.
Quote of the Day
Posted by John Kranz at May 11, 2012 11:00 AM
Rhetorical question: Wouldn't it be nice if everyone got similarly worked up when government wastes billions on sloppiness and bad judgment? -- David Harsanyi
When government spends billions of you and your neighbors' dollars through sloppiness and bad judgement it isn't called waste, it's called "stimulus."