How would you alter the behavior of private credit ratings agencies?When people say "wall st." they mean the major banks. Without our banks, you have no savings, no loans, so of-course we need wall st.. Banks are the economic engine for our nations small business, big businesses, and private citizens.
People can bitch all they want about TARP, but most banks paid the money back, with interest. This country will never get the money back from porkulos, so which is worse??
The culprits in the market are the high frequency traders skimming pennies on the dollar from every investor. Regulate that aspect of trading, and tighten rules on leverage.
"And, judging by the findings of a Senate investigative committee and the Financial Crisis Inquiry Commission, Wall Street has bought favorable credit ratings from Standard & Poors and Moodys.
"Its practices have driven speculation through the roof in every decade since the 1980s, always ending with a crash."
Does America need Wall Street? - The Washington Post
the credit ratings agencies suck, but I don't know if legislation is going to make them better at their job, and i certainly don't want to government more responsibility. i don't know.