Stick your nose into a crevice in the bark of a big old ponderosa pine. The smell of vanilla sweetens your senses. Some call it butterscotch, but the best noses say vanilla.
How can a ponderosa, a species that taught respect for turpentine, surprise with the fragrance of vanilla? The story is absurd, until you put your nose in the bark.
We leap now to the Digital Age.
Information is often acclaimed as the sweet driver of market efficiency and the currency of efficient regulation. That is, information is a regulator of markets of its own accord. The more informed the trading, the wider the interests served by markets.
No doubt it costs time, and thus money, to hand over details on the quality of a product, or, say, factory emissions.
Just as surely, the details allow more informed choices in the marketplace, which quicken the blessings of market efficiency. The very meaning of efficient market is one driven by widespread information.
The Information Age spreads data far and fast. Much the way that better data are key to market efficiency, we begin to see that better, faster data at less cost also make regulation more efficient.
Looking further, supplying better and faster regulatory tools is itself a new market.