The financial meltdown has invigorated a lot of discussion about increased regulation of markets.  Undoubtedly, much of the turmoil we've experienced can be traced to regulatory regime problems.  Unfortunately, the response will probably lead to a hodgepodge of additional regulations, when in fact, what we need is simplification and clarification.  Let's consolidate and empower the regulatory bodies that already exist.  Financial markets are far too complex for us to believe that we can anticipate all nuances and preemptively address them with a specific regulations.  To attempt to do so will have tragic competitive consequences.  What we can and should do, however, is enable the regulators to do their jobs.  Let's:  clearly define jurisdictional boundaries; enforce existing rules;  properly set expectations of regulators and regulatees, and unambiguously define communication protocols among all parties.  Regulatory body accountability is critical.  It is always easier for things to slip through the cracks when responsibility is unclear.  Just like a high fly ball in the infield, the "I got it; you take it" approach doesn't work.

In our zeal to correct the problems, let's avoid letting the pendulum swing too far.  We have to recognize that there is no ideal solution. 

The imperfections of inherently imperfect systems are only made more imperfect when people incorrectly believe that said systems can be perfected.