SEC Steps Up To The Plate

If we can move the bureaucracy off of its dime and do so without meddling by Wall Street lobbyists, we might actually get some positive action out of Washington. Yesterday, SEC chairman Cox announced much needed transparency measures for the banking sector. This doesn't solve any problems but it does take a first step towards dealing with the credit crisis. That is, it provides all of us an ability to see what the problems actually are by requiring banks to disclose capital and liquidity levels. The fear of the unknown is playing a major role in this crisis. That fear is surely greater than reality regardless of how bad the reality is. Financial institutions do not trust each other because of opacity, deception and misinformation. Enlightenment first starts with truth.

This doesn't change any of my viewpoints because they are based on models not talk. But this could be a very positive development. I'm sure this was accomplished against the wishes of many powerful lobbyists who still might kibosh this effort or make its end form useless. Restoring the nobility of public service and transparency into government is also part of a recovery process. Kudos to Chairman Cox for showing us responsible leadership. Now let's see the beef.