tag:blogger.com,1999:blog-1194375569044391746.post2637635064939124111..comments2024-03-29T02:00:55.623-04:00Comments on Corporate Justice Blog: Financial Sector Regulation Takes Center StageSteven Ramirezhttp://www.blogger.com/profile/16741346526253732489noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-1194375569044391746.post-72921339795818056152010-04-26T20:00:03.881-04:002010-04-26T20:00:03.881-04:00As a current Business Associations student, I find...As a current Business Associations student, I find all the talk of financial reform to be fascinating especially since I am just beginning to understand how the legal aspect of the market works. A few months ago, my Professor asked the class "Where has all the money gone?" she stated that "Matter is neither created nor destroyed" with that being the case, where has all the money in the market gone? But, with all the financial reform, there are obviously going to be major changes in the financial sector, I just cannot wait to see it all unfold.Unknownhttps://www.blogger.com/profile/02552356026872578493noreply@blogger.comtag:blogger.com,1999:blog-1194375569044391746.post-57894186592581428272010-04-16T06:59:49.502-04:002010-04-16T06:59:49.502-04:00Paul Krugman in today's NY Times had a terrifi...Paul Krugman in today's NY Times had a terrific op-ed where he analogized allowing the big banks to fail would be similar to letting a fire burn unabated. The domino effect of a big bank's failure into the surrounding national and global economy - causing another depression like what occurred in the 1930s when the US government did nothing to curtail the failure of the banks then. <br /><br />Mr. Krugman argues that "reform legislation gives regulators “resolution authority,” which basically means giving them the ability to deal with the likes of Lehman in much the same way that the F.D.I.C. deals with conventional banks." <br /><br />He goes on to say that, "Wall Street isn’t lobbying to prevent future bank bailouts. If anything, it’s trying to ensure that there will be more bailouts. By depriving regulators of the tools they need to seize failing financial firms, financial lobbyists increase the chances that when the next crisis strikes, taxpayers will end up paying a ransom to stockholders and executives as the price of avoiding collapse."<br /><br />Consequently we must remain vigilant of *whose* interests are being protected by our elected leaders.Meredith Norrisnoreply@blogger.comtag:blogger.com,1999:blog-1194375569044391746.post-45643539693292752082010-04-15T20:33:27.291-04:002010-04-15T20:33:27.291-04:00This wave of investigative journalism is a good wa...This wave of investigative journalism is a good way to fix the cracks in the economic system that allowed for these problems to start in the first place. One reason that the problems involving financial regulation were allowed to occur was the lack of emphasis the public put on issues revolving around the economy. While people worried about decisive social issues that may or may not be importanat in the grand scheme of things, legislation like Glass-Stengal was allowed to pass and drastically deregulate our finaical system until this meltdown was inevitable.DAVIS OSWALTnoreply@blogger.com