They would lobby to reduce the amount of capital they have to reserve for an emergency, and to lower the fees charged for mortgage insurance so they could compete on price. If another crisis hits, lower capital reserves and lower fees would make them far more vulnerable to going bankrupt, leaving the taxpayer to bail them out.
Author: Edouard Chazal
Evolution of a Founder: Lessons I have learned
Those nights of self-reflection during the early startup phase exposed me to a lot of my own demons and made me realize how little I knew. The biggest outcome of that conversation was the realization that companies and startups are essentially a reflection of a founder. If a founder doesn’t realize that, then it is going to be extremely difficult to build a long-term business.
The Tyranny of Political Economy
By endogenizing politicians’ behavior, political economy disempowers policy analysts. It is as if physicists came up with theories that explained not only natural phenomena, but also determined which bridges and buildings engineers would build. There would then scarcely be any need for engineering schools.
Too Big To Succeed
Put mathematically, the complexity now grows non-linearly. This means, as banks get larger, the ability to risk-manage the assets grows much smaller and more uncertain, ultimately endangering the viability of the business.
Pope Benedict XVI and the Leadership Issue No One Wants to Talk About
Because we want to believe, on some very romantic level, that leaders are born. That they’re superhuman. That they’re cut from special cloth, that they’ve descended from Mount Olympus to help all of us. We want to believe that because it gets us excited about signing up to work with them. It kindles our hope that people with power have a sense of great responsibility and have answers that we don’t see.
