Bankers recognized a good system when they saw it, and dozens of speculative non-physical hedgers followed Goldman's lead and joined the commodities index game, including Barclays, Deutsche Bank, Pimco, JP Morgan Chase, AIG, Bear Stearns, and Lehman Brothers, to name but a few purveyors of commodity index funds. The scene had been set for food inflation that would eventually catch unawares some of the largest milling, processing, and retailing corporations in the United States, and send shockwaves throughout the world.
The problem seems to be, more or less, that we need a worldwide solution to the problem of the futures markets being dominated by speculators, and it's hard to get London, Hong Kong, DC, etc to agree to outlaw these fools.
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