The more government regulation there is the more handles there are for “abuse.” Every regulation puts a man in line for a bribe in order to wink at the regulation in favor of the briber and to enforce it more broadly and severely against those who do not bribe. The more government involvement there is in business at any level for any reason the more corruption is introduced into the market. No exceptions. Consider the Bailout.
I’m a business process analyst by day and for decades I’ve said that people will use the tools and methods they need to get the job done regardless of what management provides them. If the process is too hard people will work around it. The same clearly goes for regulation. When compliance is simple folks will comply.
SarbOx was a bucket of worms disguised as reform and has driven some companies overseas. What will Dodd-Franks financial reform do for us? It will simply blur their fingerprints and induce some banks to headquarter in Hong Kong or Singapore.