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Rarely does an article make me think it's horse manure so early on.

> let the market decide who should hold the risk

Subprime mortgage crisis. . . (This is leaving aside the idea that letting markets decide any given thing is even a good idea in general.)

> financial innovation has been and will continue to be a massive net positive for humanity

Anyone who gets starry-eyed about "innovation" instantly makes me suspicious. Innovation in itself is neither good nor bad. The idea that "financial innovation" will be a positive independent of specific proposals is highly suspect.

The rest of the article looks like a bunch of economics mumbo jumbo that can easily explain why something looks good on paper and just as easily lead us into all kinds of trouble.



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