Brokerage-firm failure has to be an option: Paulson By Greg Robb, MarketWatch Last update: 1:09 p.m. EDT July 2, 2008 WASHINGTON (MarketWatch) - Treasury Secretary Henry Paulson will stress in a speech later Wednesday that federal regulators must craft a system to allow brokerage firms to fail without threatening the overall financial system. "For market discipline to constrain risk effectively, financial institutions must be allowed to fail," Paulson said in excerpts of a speech he will deliver in London. "It is clear that some institutions, if they fail, can have a systemic impact, so we must give regulators the authorities...