RESEARCH AND COMMENTARY
Douglas J. Elliott, June 17, 2009, The Brookings Institution
President Obama’s financial reform proposals are all sensible, necessary reforms. Unfortunately, some bolder steps have been left out due to the expectation of intense opposition from entrenched interests, says Douglas Elliott. He analyzes the administration’s plan, including parts that he believes did not go far enough. Read More
RESEARCH AND COMMENTARY
Martin Neil Baily and Douglas J. Elliott, June 15, 2009, The Brookings Institution
The economy is showing signs that it is likely bottoming out and heading toward a weak recovery, but we need to keep our optimism—and our policy actions—in check, argue Martin Baily and Douglas Elliott. Many risks remain for both the banking system and the larger economy, and they argue for increased focus on existing financial rescue plans and the banking sector. Read More
VIDEO
Alice M. Rivlin, October 28, 2009
This month marks 80 years since the Wall Street crash of 1929 that was one cause of the Great Depression. Alice Rivlin says the 1929 crash led to the creation of the financial and social safety net measures that have helped prevent today's economic crisis from being a full-blown depression.
RESEARCH AND COMMENTARY
Douglas J. Elliott, October 28, 2009, The Brookings Institution
As the financial system continues to stabilize, the House Financial Services Committee has drafted legislation intended to prevent future crises. The latest bill, which has been endorsed by the Obama administration, focuses on systemic risk and financial institutions that are deemed to be “too big to fail.” Douglas Elliott analyzes the 253-page bill, saying he thinks the enhanced resolution authority is essential, but he raises serious concerns about the structure of the council intended to tackle systemic risks. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, October 23, 2009, The Brookings Institution
The Obama administration’s pay czar imposed limits on executive compensation for bailed-out Wall Street firms. Doug Elliott says the actions are not smart, sending the message to those employees that their pay will not be determined the same way as on the rest of Wall Street and will be considerably lower and more volatile. This risks losing the best people, since the ones that move are always those who have the best options elsewhere. Read More
RESEARCH AND COMMENTARY
William A. Galston, October 23, 2009, The Brookings Institution
The “Black Tuesday” stock market crash of 1929 still haunts us on its 80th anniversary this Thursday. William Galston describes the actions taken over this past year to avert a second Great Depression and suggests that the flap over Wall Street bonuses signals a return to business as usual. Our political system has a duty to act against the obvious abuses, he writes. Read More
RESEARCH AND COMMENTARY
Martin Neil Baily, October 19, 2009, National Journal
In light of the debate over whether the Obama administration's plan for financial regulation goes far enough to curb institutions that become "too big to fail," Martin Baily addresses the question of whether any regulation of "systemic risk" will inevitably lead to the designation of some banks as "too big to fail." Read More
RESEARCH AND COMMENTARY
Martin Neil Baily, October 19, 2009, Politico
Amid White House efforts to revamp financial sector regulations—including creation of a new oversight agency—Martin Baily argues that the Federal Reserve should not take over this responsibility. The Fed, he says, is in a unique position to take on the macro side of prudential regulation—that of the systemic risk regulator, a responsibility that would well suit its purview of the overall stability and performance of the macro economy. Read More
RESEARCH AND COMMENTARY
Gary Burtless, September 30, 2009, National Journal
Gary Burtless examines the events of the past eighteen months and concludes that the status quo poses great risk to the U.S. finanical system and thus the current regulatory regime cannot be left unchanged. Read More
RESEARCH AND COMMENTARY
Martin Neil Baily, September 29, 2009, Senate Committee on Banking, Housing and Urban Affairs
Martin Baily testified before the Senate Banking Committee on the creation of a single micro prudential regulator, combining the regulatory and supervisory functions now carried out by the Fed, the OCC, the OTS, the SEC and the FDIC. He calls attention to the Australia model as a good positive example where a single prudential regulator has worked well. Read More
RESEARCH AND COMMENTARY
Douglas J. Elliott, September 24, 2009, Pew Financial Reform Project
The proposed higher capital requirements for U.S. banks being discussed at the G-20 meeting as part of the financial sector reforms is likely to have a relatively modest impact on bank lending, according to Douglas Elliott. Tougher capital requirements can powerfully aid the stability of the system without doing excessive damage to lending or the economy, he says. Read More
RESEARCH AND COMMENTARY
Adriane Fresh and Martin Neil Baily, September 21, 2009, Pew Economic Policy Department
Examining the structure of financial regulation to see what lessons there may be for the United States, Martin Baily and Adriane Fresh dispel the idea that the experience of other countries makes it a waste of time to attempt substantial consolidation of regulatory agencies in the United States. Read More
PAST EVENT
Thursday, September 17, 2009
2:00 PM to 3:30 PM
Washington, DC
On September 17, the Brookings Institution will host Dr. José de Gregorio, governor of the Central Bank of Chile. Governor de Gregorio will outline his views on how best to structure monetary policy and regulatory frameworks in emerging markets to promote macroeconomic and financial stability. Read More
PAST EVENT
Wednesday, September 16, 2009
12:30 PM to 1:30 PM
The collapse of Lehman Brothers in September 2008, combined with the government takeover of Fannie Mae and Freddie Mac, helped trigger the worst financial crisis in the United States since the Great Depression. In this week’s edition of the Scouting Report, Douglas Elliott—a former investment banker and current fellow at Brookings—answered your questions about the financial crisis and where we stand one year later. Fred Barbash, senior editor at Politico, moderated the discussion. Read More
PAST EVENT
Tuesday, September 15, 2009
10:00 AM to 12:00 PM
Washington, DC
This week marks the one-year anniversary of Lehman Brothers' collapse. Federal Reserve Chairman Ben Bernanke delivered a keynote about the tumultuous events of last September at a Brookings forum on Tuesday. Brookings Vice President Karen Dynan moderated a panel with other experts on the state of financial markets and regulatory reform. Read More