Krugman wonks out

Making financial crises great again

But now the incoming Trump administration seems eager to deregulate the financial industry. We’re hearing about the possibility of abolishing the FDIC. Deposit insurance would supposedly remain, although it would be absorbed into the Treasury Department. But the FDIC has a lot of institutional experience in bank regulation, which would presumably be lost. And this comes amid a general push to loosen financial regulation, indeed regulation of all types.

I have no idea how far this stuff will go, although Wall Street types are clearly eager to start taking dangerous risks again.

But it does seem like a reasonable guess that panics, along with pollution and polio, are well-positioned to make a comeback.