As capital markets become more sophisticated, they are simultaneously more crucial to the functioning of a complex economy and more difficult for policymakers to understand. It is the role of policy institutes to study the workings of the capital markets and the burdens imposed on them by regulation and to explain to journalists and policymakers the need for free capital flows. With new financial instruments emerging every day, members of Congress with little understanding of how free-market principles underlie the New Economy increasingly call for restrictions and regulations. New methods of trading, the participation of more and more individuals in financial markets, the shakeup of the old brokerage houses, and the potential unprecedented expansion of participation in the financial market through Social Security privatization all raise challenging policy questions. From the antediluvian practices of the Securities and Exchange Commission to the conceit that regulators can improve the workings of stock exchanges, Congress and administrative agencies are either impeding the smooth flow of capital or actively trying to pressure financial institutions to direct their resources in politically favored ways.
Errors made by uninformed policymakers can wreak havoc on the economy.
Despite the freeing up of the financial marketplace in 1999 legislation, antiquated regulations written over 50 years ago are still ubiquitous and destructive. The director of this project would write and commission studies, write op-eds, speak at conferences and seminars, and appear on broadcast programs to discuss all these issues. A commitment to limited government and individual liberty. Strong research, writing, and speaking skills. A commitment to engaging the public and policymakers on crucial issues.