system
Given the following post, respond as if you're commenting on Reddit:
human
cmv: Financial regulation is needed to prevent reckless banking practice like we saw in the lead up to 2008

I've done a lot of research into the 2008 global economic crisis as part of my undergrad degree. It seems to me, and many of my peers, that a major cause of the crisis was unregulated lending by banks through sub-prime mortgages, as well as stuff like Originate-to-Distribute, Collateral Debt Obligations, Credit Default Swaps and general deregulation like Glass-Steagall. Had these practices been regulated by the US government its likely the 2008 housing crash wouldn't have been so detrimental to the world economy. Essentially my belief is that unbridled neoliberalism is the main cause of this crisis, and zooming out further, accumulative capitalism as a whole.

I know there are many people out there who strongly oppose financial regulation, usually I suppose because they claim it prevents economies from growing to their full potentials. But when you have major economic crises like what we saw in 2008 wiping much of the economic growth that came in the years previously, does it really make an unregulated financial sector worthwhile?
gpt
How about letting banks that make these loans fail? You shouldn’t have to regulate out bad business decisions. If a bank wants to make a risky loan, let them. But when those risky loans bite them in the ass, don’t bail them out.