We have an entropy issue with finance

There is an inherent engineering complexity that has kept piling up for decades now; de-regulation meant giving more free variables to banks and other actors. Which would be ok if the interface between these actors and the real-world had also worsened. For instance, the interface Central Banks created from the financial sector and themselves / the “real” economy has become more complex over time as well.

Strangely finance goes against progress, which is about reducing the number of things we need to think about.

Finance will eventually need to be contained, and this can be done in two way:

• Reduce the engineering complexity by putting more constraints on the system. Democracy is what reduces entropy. Going back to the Bretton-Woods system for instance.
• Contain the engineering complexity with reducing the surface area that we need to control.