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I sincerely doubt that I need to point out the obvious, but what the hell.
A balance, an equilibrium, must be found where properly constructed and implemented regulations exist to protect markets and consumers while absolutely minimizing drag on natural market forces. Regulations will always create a drag on those forces, yes, so they must be minimized appropriately.
When we knee-jerk away from regulation or when we knee-jerk in favor of it, bad things happen. When we fail to properly implement regulation, regardless of who's in charge, bad things happen. Had we properly implemented and enforced existing securities regulation, for example, leading up to the Meltdown of 2008 the effects would have been significantly lighter.
Dodd-Frank, as another example, has knee-jerked us towards over-regulation with all kinds of freakin' wasteful redundancies and intrusions, I can tell you that first hand.
Bottom line: It's all about balance, equilibrium. And since regulation is controlled by politicians, I don't know how you get from here to there.
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