Answer sheet Assignment Example | Topics and Well Written Essays - 1000 words

Answer sheet - Assignment Example 27). There is a large pool of unemployment in the market. A contributing factor is the low wages. Reich believes that with correct remuneration, better economy and society are not a farfetched idea. Labor is readily available in the market, but the poor wages discourage workers to apply for the job. People are even trading their jobs for a lesser paying job that matches their remuneration (Reich, pg.35). Stop bankers from creating risky huge bets with the money of other people. If they have to, then they should second the bet with a good proportion of their own capital. They should also be hindered from creating cash off their balances through trade derivatives. In addition, put a requirement they receive their remuneration in warrants, or stock that cannot be can be cashed in no less than 3 years. Place precautionary measures in place preventing a bank from being too big for a fail; Combining the casino with the basic utility made bankers richer and subjected us to risks we had not asked for. If separating investment from commercial banking is not adequate in keeping all banks in check. Anti-trust laws are used to break them up. Pluck out the three major interest conflicts: credit-rating agencies, institutional investors, and regional feds. The same companies having their issues rated should not pay the agencies. Those who use their ratings should be the ones paying them. Institutional investors, for example, a mutual and pension funds should not receive investment advice from the banks that gain from their investment. Presidents elected by regional bankers should head the regional feds. The major say should come from non-bankers, and the senate should have to confirm regional presidents (Reich, pg. 38). One lie states that the rich tax cuts tickle down all the way to everyone else, but taxing the rich highly leads to slow job growth and hurts the