Noted economist Farid Khavari, a Democratic candidate for Florida governor, has gained national attention for his plan to create a state-owned bank in Florida. Today he responded to Chief Financial Officer Alex Sink's (also a Democratic candidate for governor) recent call for additional oversight of the State Board of Administration (SBA).
"The simplest way to eliminate dubious investing by the State Board of Administration is to shine light on every deal. Simply post all documents relating to every transaction on a website. For each deal, show who is selling it, how many other deals they have sold the SBA, what fees the seller is earning, who is buying, who approves it, how many other deals they have done with this seller, and so on, together with a summary of the amount invested and the terms.
"...Thousands of ordinary people with common sense would keep an eye on the SBA for you, all for free," Khavari said.