Wednesday, March 3, 2010
It is going to happen again!
Got this email from Peter Wallison at the Amercian Enterprise Institute along with this file: http://www.funnyeconomist.com/Wallison.doc
Not so great.
The news from the Hill suggests that things are approaching some kind of turning point in the Senate Banking Committee. Most of the media coverage has followed the controversy over the Consumer Financial Protection Agency, but far more important in the long run are what the Senate Committee does on resolution and the regulation of large nonbank financial firms.
Government entry into these areas could have a profoundly adverse effect on our economy in the future and deserves more attention than it is getting.
In the last week, I’ve published two op-eds on different aspects of the resolution issue, especially the fact that a government resolution system for large nonbank financial firms will enhance too-big-to-fail rather than eliminate it.
I thought you’d be interested.