[T]he underlying vision remains that of a financial system more or less the same as it was two years ago, albeit somewhat tamed by new rules.
As you can guess, I don’t share that vision. I don’t think this is just a financial panic; I believe that it represents the failure of a whole model of banking, of an overgrown financial sector that did more harm than good. I don’t think the Obama administration can bring securitization back to life, and I don’t believe it should try.
PS. Jag tror inte att Krugman läste det jag skrev för någon vecka sedan i Dagsavisen, under rubriken Krismystik. Men du kan ju göra det.
Uppdatering. Krugman återkommer med följande:
A reader writes in to complain about today's column, in which I compared the supposedly productive activities of financial wizards to the sleight-of-hand of stage magicians. As a magician, he resents being compared to investment bankers.