HAVING spent much of the past year putting out fires, America’s leaders are now turning their attention to preventing future blazes. Barack Obama unveiled proposals on Wednesday June 17th that would refashion the federal rules governing almost every corner of finance, pushing government much more deeply into private markets and partially rolling back a quarter-century of liberalisation. Full Story »
Posted by Derek Hawkins
Clear, comprehensive analysis of Obama's financial regulation reform plan. Makes several smart predictions about how Congress will receive the plan. Reads like a half-endorsement but I find it fair.
My only problem is with the context: the OTS was also the oversight body for AIG as well as the other Thrifts mentioned. OTS was the smallest of the oversight agencies and has never had enough staff to properly supervise. This is a major problem--as given in my quote--and a major weakness of the legislation. In all, isn't this really the Big Foxes overseeing the little foxes guarding the hen house?
But, even with the OTS gone, banks will be able to shop for friendly charters. More »
The most informative breakdown of the financial regulation reform plan I've yet read. It sights Congressional and interest group pressure and the primary reason why the plan is not more of a total overhaul.
Leaving the framework largely intact is risky. The current set-up is not all bad, to be sure: one regulator may spot a problem that another misses. But, even with the More »
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