The Efficient Markets Hypothesis

The sheer complexity of contemporary financial markets and the invisibility of ultimately who owns O's what to whom and by when creates an inherent impediment to the full operation of markets in the pricing of risk. Go to the question for which back securities and for what was then an unregulated derivatives market. Frankly how could you make an intelligent punt in those market circumstances about a particular financial product when you didn't know or had no capacity to know where the ultimate liability within the financial system lay. That involves a level of religious fundamentalism which would send your average southern Baptist into retirement school. The state must step in either as the guarantor of last resort the re-regulator of the markets I note