But in the case of Enron, Zingales says that while there was sufficient accounting transparency, what was lacking were the incentives for uncovering negative information about a company.
But no, in the interest of full transparency, we had Bernanke warning about how the Fed expected still more negative pressure ahead from the housing collapse, worsening labor markets, a credit crunch that may have still more shoes to drop, and revealing that the Fed was also beginning to worry about the potential for rising inflation.