“Infrastructure” is more than roads:
Transformation of the SEC (Securities & Exchange Commission):
Unfinished thoughts crossed my mind: How could a reorganization of the SEC “make America First”?
What caused the SEC in the first place?
Would deregulation (the SEC has strict regulations governing our economy) be part of the “again” in #MAGA ?
How would a “deal-maker” that is the Executive branch of the USA dealing directly with heads of hand-picked corporations affect the relationship between private companies, public companies and government?
How could the SEC be used be used to transform the decision-making of publicly owned corporations? The nature of stocks and bonds?
What if “public trust” among investors increases to a point where we trust the federal government to control the infrastructure of the economy as it relates to business financial operations?
We do with the SEC (generally) but what if the SEC has a significant reorganization?
Let’s look at their own *current* biography.
Creation of the SEC
The SEC’s foundation was laid in an era that was ripe for reform. Before the Great Crash of 1929, there was little support for federal regulation of the securities markets. This was particularly true during the post-World War I surge of securities activity. Proposals that the federal government require financial disclosure and prevent the fraudulent sale of stock were never seriously pursued.
Tempted by promises of “rags to riches” transformations and easy credit, most investors gave little thought to the systemic risk that arose from widespread abuse of margin financing and unreliable information about the securities in which they were investing. During the 1920s, approximately 20 million large and small shareholders took advantage of post-war prosperity and set out to make their fortunes in the stock market. It is estimated that of the $50 billion in new securities offered during this period, half became worthless.