Regulatory capture is ruining America

Regulatory capture is ruining America:

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Regulatory capture is ruining America.

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What is regulatory capture?

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It is ‘an economic theory where the regulatory agencies are dominated by the interests they regulate and not that of the general public’ (Source)

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It’s all over America.

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Finance.

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Military.

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Social media.

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Telecom.

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Bill Gurley did an excellent talk at the All In Summit about it.

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Excellent. Absolute must watch.

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Let’s use finance as the example.

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Remembered this watching Elon Musk’s interview with Lex Fridman.

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There’s a part towards the end where he mentioned how the SEC was going after Tesla and not the hedge funds that were actively shorting and pushing their propaganda through the media.

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Not once.

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Why?

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As he says, because the lawyers at the SEC earn shit money and once they leave, their goal is for their LinkedIn.

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To say on their resume they won a big case so they can go work at the law firm hired but the same hedge fund.

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The wolves are in the henhouse.

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Everywhere.

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Think about this.

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Hedge funds are allowed to talk shit about companies while actively shorting them on CNBC and they NEVER get regulated.

EVER.

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CNBC is criminal propaganda of hedge funds and market makers.

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They make the public believe what they want them to believe.

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While the real stuff goes on behind the scenes.

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Musk knows.

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He was attacked ruthlessly by hedge funds openly admitting they wanted him to fail.

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And making money on it.

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Is Tesla overvalued?

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Sure by traditional metrics.

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But what Musk has built is nothing short of spectacular.

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If the market and retail investors believe it’s worth a certain price, then it is.

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The issue here was Musk was the one being investigated.

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Not the hedge funds who were breaking the rules but the companies trying to talk back.

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This is how the game works.

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Follow the money.

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The SEC is funded by Congress.

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Congress is funded by Wall Street.

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Wall Street doesn’t want the SEC to go after them.

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So what do they do?

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Endlessly support and back the candidates that are favourable to them.

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Congress gets put in power by big money.

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If I’m a hedge fund billionaire and have unlimited money like Ken Griffin and Jamie Dimon, I fund super PACs to put my guys in the government.

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What happens then?

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Every time a new regulation is brought through the system, they immediately block it.

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Or they change the rules to substantially benefit them and ruin everyone else.

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The big money in politics is disgusting, and yet it runs the world.

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Let’s look at the military.

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Just saw this video of Vivek Ramaswamy, an independent Republican candidate, talk about the third rail of the mainstream media.

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What’s called the Neo-cons.

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Who are they?

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Warmongers.

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The people leading America on both sides of the political spectrum are pro-war.

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That’s fucked up.

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Why?

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Because the military-industrial complex.

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They run America, not average people.

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Eisenhower warned the world in 1961.

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‘In the Councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex. The potential for the disastrous rise of misplaced power exists and will persist.’

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America didn’t listen.

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Another example of regulatory capture is social media.

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As per Musk in another interview with Joe Rogan, all social media companies are arms of the government.

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Literally.

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Google and Facebook, arms of the US government.

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Show you exactly what they want them to show you.

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Nothing else.

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These days, you have to question everything.

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Especially that from the establishment.

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They’ve been caught lying one too many times.

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Covid.

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Hunter Biden laptop.

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Russia gate.

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Twitter files.

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All stories swept under the rug by the establishment.

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But these companies continue to profit endlessly without regulation.

Should social media be regulated?

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I think so.

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Their argument is no.

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It’s what happening in the AI industry right now.

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There’s a reason Sam Altman, the CEO of OpenAI, is heavily involved in regulation.

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He wants to control the narrative and make sure it disproportionately benefits his company.

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As per Elon, OpenAI started just as that.

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Open, as in open innovation.

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Then Sam built it and immediately turned it into a profit centre for Microsoft trying to make the most money possible.

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It’s important it’s regulated, but as we’ve learned with other industries, be careful who you let regulate it.

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Wall Street got away with bailouts from the government because their lobbyists wrote the laws after 2008 and put their guys in position.

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Hank Paulson, Ben Bernanke and Garry Gensler were former Wall Street guys. 

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They led the change in policy after 2008.

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Main Street lost and Wall Street won.

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Literally made their billions of dollars in bonuses a year later, all at the expense of the general public.

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Millions of peoples lives globally changed forever, and Wall Street didn’t suffer at all.

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At all.

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It’s sickening.

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This ability for big money to influence politics and decisions so brazenly.

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So out in the open.

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So much for their benefit and not in the interest of the public.

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How do we change this?

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How are we going to fix this problem?

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Until congress and the president want to make a switch, it’ll never happen.

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And it probably won’t because they only get there by getting paid by these same people.

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The prisoners are running the jail.

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And we’re all trapped inside.

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People need to wake up - regulatory capture is ruining America.

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