Tuesday, October 23, 2012
The Revolving Door Between Goverment And Wall Street
This article provides some data on the implications of the revolving door. It appears to influence stock prices of the firms that participate in the revolving door game. More importantly, it is more characteristic of emerging market countries than it is of countries that set the example for effective democracy. That used to be the US. Some critics of US budget deficits claim that we are moving closer to states like Greece. We may be moving in that direction but it is not the result of US fiscal policy. The barriers that used to be in place to limit corruption are becoming more like those of nations like Greece that have very weak barriers to corruption.