Peter Wehner posted a portion of a column that speaks of developing minimal and effective regulations within the US, but also having international cooperation for risk protection. A “global regulatory system” does not imply a “world government” anymore than international agreements on arms control. The only way I can imagine conflating this with world government is if you took “the government can hire private firms…” to refer to some sort of world government. I read it as referring to the United States government, or any particular government for that matter.

Anyway, one post from Peter Wehner quoting someone talking about a “global regulatory system” hardly amounts to “The Bushies and the NeoCons…cheering on a guy who’s advocating world government…”

The response you cite from Don Boudreaux really had little to do with the call for a new global financial regulatory regime; it had to do with the trust in government in general.