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Good bankers need not care about systemic risk | 18 comments (18 topical, editorial, 0 hidden)
Re: The strange thing (none / 1)
One of the biggest holes in capitalist theory is that decisions on investment are taken by employees within large organizations. Since their goal is to maximize their own revenue/social position/security, not the returns for the firm, the entire mechanism is skewed from what the theory predicts.

Furthermore, banking seems to me to be one of the most over-concentrated businesses where smaller deals that require expertise are no longer profitable on the scale that makes organizational sense and there is little  competition except for the biggest deals.

by citizen k (sansracine yahoo.fr) on Mon Apr 23rd, 2007 at 08:58:04 AM EST
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Good bankers need not care about systemic risk | 18 comments (18 topical, 0 editorial, 0 hidden)
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