Questions of Ethics In Computer Systems and Their Future

1) Identify and discuss security issues and considerations evident for
Information Systems
And computerization in the brokerage industry. ( Think about how the
Internet has
already influenced trading.)

"The technology is getting ahead of regulators" claims David Weissman,
director of money and technology at Forrester Research Inc., in Cambridge, Mass.

If one is to believe the quote above it sounds very ominous for the
regulators and the government to attempt to even bring this media under any kind
of regulation. But, what is it that they the government agencies truly are
looking to regulate? If you take to the argument that this media, the Internet
is truly a public access network, then the control to which they would like to
extend to it would be the most regulated public access system in history. What I
believe the attempt here is to regulate through censorship. Since it is almost
impossible to censor the phone networks without actually eaves dropping on your
phone, they have decided to regulate and censor your written word. The danger in
this is what you write as an opinion may be construed by that government
regulator as a violation of some regulatory act. The flip side to this is if you
did this through another medium such as the phone system nothing would ever come
it. The bigger question here is how much government do people want in there
lives? The Internet was brought into the picture for the public as the next
great technology of this century. It is without a doubt as big if not bigger
than any other public means of communication that has come before it. With that
in mind I think the government is trying to extract it\'s pound of flesh for what
they believe is missed revenue dollars that could be made in the form of tax
regulations.

"There are probably insiders touting stocks on the Internet either
anonymously or under assumed names," said Mary Schapiro, president of the
National Association of Securities Dealers, which oversees the NASDAQ market.
The argument that they are both (the government and NASDAQ) currently running
with is the "protection of the investor". When one looks at NASDAQ\'s complaint
it is fairly superficial, for them it is clearly a loss of income for their
trading enviorment, for the government it is a loss of taxes that could be
derived from those trades. Are we to believe that both of these agencies only
have the best intentions at heart for those investors that might be duped. These
issues have been around for along time through the use of other mediums like the
phone system, direct mail marketing, "cold calling" from "boiler plate" houses,
and even unscrupulous brokers who work in legimate brokerage houses. People
today are still the victims of these types of scams through the use of the older
technologies. So how is it that since the older scams are still being used is
one to believe that they will have anymore success tackling the complex nature
of the Internet and the myriad of scams that could generate from it. The success
rate of convictions from past indiscretions is low at best, one only has to look
at the mountain of arrests for "insider trading", that the government launched
during the late 1970\'s through the middle 1980\'s to realize for all the hype of
cleaning up Wall Street not a whole lot ever came from the scourging. What it
seems to me is Ms. Shapiro would be better suited to try and align her NASDAQ
forum with the Internet technology to take advantage of the technology rather
than trying to use the government to bully people into being afraid to use the
technology. Her second quote of "there is a tremendous amount of hype," comes
off as nothing but sour grapes and a big opportunity to use her position to
knock the Internet. If she honestly believes she\'s done everything to insure her
customer base that her system of doing business is any bit as less likely to
fall victim to insider trading and traders touting of stocks beyond what they
should be touted as, she is sadly mistaken. The average investor is going to use
every opportunity presented to them if they think it will give them the
advantage in investing. Just look at places like Harry\'s at Hanover Square, a
popular bar in the Wall Street area where depending on the afternoon one would
only need walk around the bar to hear the broker types hyping their own stocks
to each