archy, here's an interesting paper I found this morning.  I've not
read the whole thing but much of it may support your perspective.

Has Financial Development Made the World Riskier?
Raghuram G. Rajan
http://www.kansascityfed.org/publicat/sympos/2005/pdf/rajan2005.pdf

PS -- I'm not sure transparency would work to make the market safer or
would rather simply ruin the marketplace.

On Jul 14, 8:27 am, archytas <[email protected]> wrote:
> Like the changes that have gone before, capitalism’s latest
> transformation will alter the relationship between markets and
> governments and between politics and economics. It is the ability to
> adapt that secures capitalism’s survival. Version 4.0 will be as
> different from the recent free-market fundamentalism as Reaganomics
> was from the New Deal. Capitalism’s evolution over the past 200 years
> is linked particularly to the changing role of government. The managed
> economies of Capitalism 2.0 were based on a fundamental faith in
> governments’ ability to solve economic problems. Version 3.0, after
> the 1970s, romanticised markets and distrusted government. Within each
> of these broad categories,there were mini-shifts, Capitalism 2.1, 2.2,
> etc.
> What I would like to see is much more openness, though there are clear
> problems with this in terms of handing over manufacturing expertise
> and capacity to potential loonies, and weapons technology to
> terrorists.  Deep inside what is going on are old habits, like trying
> to force maximum production out of people who serve masters and so
> on.  There is no need for this now.

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