Colorado amassed over $1 billion in recreational marijuana sales in 2016. As just one of nine jurisdictions that already allows adults to consume marijuana recreationally, the national sales numbers will soon reach eleven figures. However, as is well known, marijuana is a Schedule I drug, and...

"This essay shows that government credit-allocation schemes generate incentive conflicts that undermine the quality of bank supervision and eventually produce banking crisis. For political reasons, most countries establish a regulatory culture that embraces three economically contradictory...