Cod Liver Oil is Good for You

Stocks have fallen 4% in the three days since Obama announced on Tuesday that he would tighten restrictions on banks.   These proposed restrictions are intended to make the system more robust to resist busts like we saw in late 2008.    You'd think the stock market would  act on an assumption that  protections insuring stability in the system would cause a rise in stock prices.   But no.   Apparently the strongly held view of stock holders and traders is that they would rather retain the capacity to make huge short term gains, risk precipitous losses, or count on the govt to bail them out, than see a  positive in these regulations.   Have they not learned?   If the American people have a memory, they won't bail the banks out if there is a next time.   We need to feed them some regulatory cod liver oil for their and our own good.