As you argue, the main cause of the overexpansion of the finance industry is government intervention (“Too Big for Its Gucci Boots,” September 12, 2009). The expectation of bail-outs in times of crisis involves an implicit subsidy that reduces the cost of capital and thus increases returns. What is more, bailouts prevent the industry from shrinking in crises as much as it would in the absence of government intervention. But you do not venture into the longer-term implications of all this.  To wit, the overexpansion of the finance industry will only gather pace. The greater the government intervention, the cheaper the capital and the greater the returns. And the bonanza is ultimately due to what is euphemistically called taxpayers’ largesse, which will only grow in time. It goes without saying that politicians will not be spending a dime of their own money to keep fattening the finance industry. A dandy arrangement, this.