The news that Goldman Sachs was dumping toxic assets while singing their praises to eager investors is no surprise. Such is the way of the markets, where the self-interest of liars aligns perfectly with the growing plight of the poor and weak. The circle of strife in all its glory. If you suffer because I lie, that is your problem, not mine. Let the buyer be snared.
The most effective response to this basest of all motivations lies is probably note government intervention in day-to-day business operations. Professional liars will surely find a way to exploit holes in public policy; there is far too much money to be made for honesty to prevail. When the name of the game is Whack A Lyin' Mole, we the people always lose.
A better intervention, in my view, would be a combination of tax policy and regulation that makes gigantic companies less attractive (or impossible), especially those involved in financial services and healthcare, two institutions that are critical to the common good. Big is bad when the fate of a nation is at stake. Bigger is even worse.
That's the thing that worries me about a huge, monolithic healthcare system, whether it's public or private or both. Lawmakers would be wise to balance the few benefits of "large" with the many strengths of agile, innovative, and small. When something is too big to fail, it almost certainly will.