But, I am also recognizing the cronyism and corruption at the heart of US capital markets, which anyone who's worked on an IPO and seen what it takes to get in at strike price, to name but one example, will tell you.

If there wasn't inherent cronyism in the present system in the US, it would fall down. In fact, part of what is happening now if that cronies no longer trust each other.

The present solution to this crisis of confidence is to flood the market so as to get those people trusting one another again. But, another solution would be to remove the cronies.

This, for me, is the longhand for when economists like Duncan Black decry the fact we are counting on the same people who got us into the mess to get us out, the fact that the same cadre of people run US capital markets and continue their revolving door into and out of government. One need only look at the people Geithner brought in with him, their lobbying and Wall Street background, to see what I mean.

When banks are nationalised and your democratic institutions aren't hopelessly corrupted (the two are related) then there is a process to remove the cronies. Such a process does not obtain in the US or the UK, to be sure, but financial market reform is but one of many reforms which should be on the table.

Fai de bèn a Bertrand, te lou rendra en cagant