Economists never learn: bank capital
Previously I discussed how the Economics/Finance profession is incapable of learning anything from someone without an Economics/Finance PhD. As an example of... Read More
How healthy is the global financial system?
As we approached the tenth anniversary of the start of the financial crisis on August 9, 2007, global financial regulators are declaring... Read More
Fixing Libor simpler and easier than replacing it
The financial crisis revealed bankers were rigging Libor for personal profit. Since then, regulators have been searching for a solution to either... Read More
Gambling on bank regulators
Since banks everywhere are opaque, there is no way for investors to independently assess the risk of their unsecured debt and equity... Read More
The financial crisis response that didn’t fix underlying cause of crisis
In a must read Guardian column, Joris Luyendijk looks at the the response to the financial crisis over the last nine years... Read More
Banks vote on replacement for Libor
In the run-up to the financial crisis, the Libor interest rate became the most important rate in the financial world. It was... Read More
Financial regulators not up to task of preventing next crisis
For several years, I have been saying a reliance on financial regulators to prevent the next crisis only guarantees we will have... Read More
Banco Popular and transparency
The recent resolution of Spain’s Banco Popular provides a terrific case study on the importance of banks providing transparency and disclosing their... Read More
False claims used to defend gutting Dodd-Frank
I never cease to be amazed by the gap between what defenders of Dodd-Frank claim is a problem with the financial system... Read More
The Financial Choice Act isn’t all bad
The GOP has begun the process of gutting the Dodd-Frank Act and its over-reliance on financial regulators. The Financial Choice Act is... Read More
Bank capital: great for everything; does nothing
Since the financial crisis intensified in 2008, the fans of bank book capital have made numerous positive claims about its magical capabilities.... Read More
Regulation dependent financial systems are crisis prone
In a recent interview, Paul Volcker was asked Has Wall Street always been trying to wiggle out of regulations? His response highlights... Read More
It is time to break-up the Fed
Donald Trump and the GOP need an easy, highly visible legislative victory. Breaking up the Fed meets this criteria. In the aftermath... Read More
What a difference a decade makes …. or not
In his speech to the Institute for International Finance, Bank of England Governor Mark Carney favorably reviews the new post-financial crisis regulations.... Read More
Redesigning the regulatory framework
In his speech on the future of the global financial system before the Bretton Woods Committee, Paul Volcker discussed the need to redesign... Read More