tag:blogger.com,1999:blog-7905729024656704090.post2671407530231395531..comments2024-03-16T10:51:29.949-04:00Comments on <center>Misunderstood Finance</center>: Regulators Increase Systemic Risk: Comment to "Great Moments in Financial Regulation"Milton Rechthttp://www.blogger.com/profile/02488660316957122768noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-7905729024656704090.post-86545374707581081972013-07-29T23:21:48.383-04:002013-07-29T23:21:48.383-04:00The financial sector, which includes banks like JP...The financial sector, which includes banks like JPMorgan and insurance companies like AIG, had the fastest earnings growth in the Standard & Poor’s 500 in 2012.[1] As of mid-2013, the sector comprised 16.8% of the S&P 500, almost double the percentage back in 2009. With the technology sector weighing in at 17.6 percent in 2013, the financial sector was poised to become the largest sector in the S&P 500. The traditional critique of the financial sector having a larger share of the economy is that the sector doesn’t “make” anything. As this argument is well-known, I want to ask, what about systemic risk? How is it being impacted as Wall Street takes up more and more of the U.S. economy? Furthermore, what is the impact on income inequality? Recommended: http://thewordenreport.blogspot.com/2013/07/wall-street-swallowing-up-more-of.htmlDr. Wordenhttps://www.blogger.com/profile/02867414605883311000noreply@blogger.com