Individuals have lost their trust in financial institutions, says Dan Ariely in “The Financial Markets and the Neurospsychology of Trust.”
Everyone knows that. But Ariely also asserts that our stock market problems can’t be resolved until trust is restored–something that bailout efforts don’t address.
I don’t have much faith in the legislation, but I hope that one of the banks will decide to step out of the herd and be the good guy–eliminating conflict of interests and creating complete transparency.
Ariely is the author of Predictably Irrational.