We Have To Throw Bankers In Jail Or The Economy Won't Recover

[notesdev]

As economists such as William Black and James Galbraith have repeatedly said, we cannot solve the economic crisis unless we throw the criminals who committed fraud in jail.

And Nobel prize winning economist George Akerlof has demonstrated that failure to punish white collar criminals – and instead bailing them out- creates incentives for more economic crimes and further destruction of the economy in the future. See this, this and this.

Nobel prize winning economist Joseph Stiglitz just agreed. As Stiglitz told Yahoo’s Daily Finance on October 20th:

This is a really important point to understand from the point of view of our society. The legal system is supposed to be the codification of our norms and beliefs, things that we need to make our system work. If the legal system is seen as exploitative, then confidence in our whole system starts eroding. And that’s really the problem that’s going on.

....

http://www.businessinsider.com/nobel-economist-says-we-have-to-prosecute-fraud-or-else-the-economy-wont-recover-2010-11

[madrchsod]

1. they did it the 80`s.....

[xchrom]

2. you can't just throw them in jail and leave them wealthy when they come out.

otherwise it's risk that paid off even if they get busted.

gotta be both.

[ixion]

3. We need to prosecute both the bankers and the war criminals

if we are ever to fully recover, in my opinion.

[DCKit]

4. +1 n/t