What Happens When Greed Is Unleashed On Wall Street

This article (via Manan Shukla) reminds us of what happened when government unleashed the animal spirits on Wall Street that led to the financial crisis. Human beings have a potential for being greedy. That is why laws and regulations are needed to protect us from greedy behavior. One of our human weaknesses is that we want other people to appreciate how successful we have been. It takes a lot of successful greedy behavior to display one's wealth in the fashion described in this article. Unfortunately, Wall Street attracts lots of people with this affliction, and its culture encourages it. It can take on other forms as well that are not as distasteful. Some give large sums to charitable organizations and others purchase works of art, and a variety of other things that establish their position within the Wall Street culture. As wealth increases on Wall Street the standards for gaining status escalate. That is why there is no limit on the amount of wealth that needs to be accumulated. It can't all be spent, but it is necessary to maintain social status in a culture that is defined by money.