His point is that the government will never had enough of oversight of itself -- it shouldn't have had this bad of a failure for so long -- to fix these problems. Saying it would all be better if the government just did something it historically never been able to do well is a fool's dream. Lacking a profit motive, governments have very little natural force correcting them, especially when it comes to bureaucrats paid according to union standards and protected by them. They really don't care if anything works out at long as then can show then put forth even the smallest effort.
You asking for more regulation after giving tax money to a corporation reminds me of the Ronald Reagan quote: "If is move, tax it. It is keeps moving, regulate it. If it stops moving, subsidize it."
The problem with government run anything (from democratic socialism to Marxism) is that it never works out like its planned, and those that support it just keep up with the same hitting their head again the wall mantra, "But that wasn't what was supposed to happen; that wasn't real [insert personal economic philosophy]." They never seem to learn that there will always be a huge gulf between theory and practice when it comes to the political economy. Capitalism self corrects around it and uses our worst side -- the greed -- to make the world better.