Financial Transparency

Bringing Glass-Steagall is necessary and discussed in #16. In comments within that forum I mentioned:

"...the three most systemic market problems that led to the crisis are: 1) removal of critical regulations (i.e., G-S), 2) a lack of enforcement (e.g., miserable oversight by SEC), and 3) a lack of transparency in financial reporting, a problem that goes back many years before the debt crisis. If either are not fixed we leave a gaping hole in the integrity of markets." Because the problems go back to before Enron, I recommend something like the following:

"Increase the liability of corporations and corporate executives for intentional misrepresentation in financial reporting. Charge the Internal Revenue Service in consultation with the SEC, FTC, and DOJ in developing and enforcing accounting and financial reporting standards. Remove responsibility for such standards from the Financial Accounting Standards Board (FASB) since this form of self-regulation has proven to be wholly ineffective."

I noticed that "Truth to the Public" has at this time the most comments under "Suggested Topics" I am pushing "Financial Transparency" because it is very much a form of truth to the public. The media certainly can be guilty of reporting untrue "facts." I want to suggest that untrue financial reporting has done as much or even more damage in recent years. Much of the crises would not have been possible with financial transparency.

Yes,I agree completely here...