The SEC recently proposed restricting short sales through a reinstated uptick rule and/or circuit breakers (PDF). One commenter (PDF) had a better idea:
Rather than tinkering with ad hoc half-measures, the SEC should be proposing the only practical, efficient and final solution to market volatility: a ban on stock selling altogether.
The commenter supports his proposal with six “time-honored truths” including “The SEC’s Job Is To Stay Out Of The Market When It’s Rising And Step In To Appropriately Alter The Rules When It’s Falling.”
A classic.