By politicizing the allocation of mortgage credit beyond the level that was possible with Freddie and Fannie, the bill proposed by Sen. Tim Johnson and Sen. Mike Crapo manages to make the affordable-housing provisions of current policy worse.
A lively and informed discussion was held at the American Enterprise Institute on March 20, 2014 on the question: Is the Federal Reserve a philosopher king or servant of the treasury? Alex Pollock, a frequent contributor to Law and Liberty and participant in the AEI discussion, offers here in condensed form the arguments and the instructive history presented.
Since the financial crisis in 2008, central bankers and bank regulators world-wide have repeatedly called for controls on "shadow banking." But if bank regulators get their way, much of the U.S. financial system will lose its capacity for risk-taking as well as its dynamism, innovativeness and flexibility. And the U.S. economy would not be any safer.
Everybody talks about fixing the problem of Fannie Mae and Freddie Mac, but it is hard to make anything actually happen. I propose for immediate action to treat Fannie and Freddie exactly like a Too Big To Fail (TBTF) bank.
Charles Calomiris and Stephen Haber, combining their scholarly command of banking and political institutions, have published a book full of fertile ideas, instructive histories of the evolution of a number of banking systems, and provocative interpretations of the co-dependency between banks and governments.
In September 2013, the Financial Stability Oversight Council (FSOC) designated Prudential Financial as a systemically important financial institution (SIFI); its rationale was perfunctory and data-free, suggesting that the FSOC sees no need to justify its designation decisions. Congress must step in, and quickly, before this pattern continues.
AEI's Stephen Oliner delivered the following remarks at the International Conference on Collateral Risk hosted by Allianz SE in Berlin, Germany on March 28, 2014.
AEI's Edward Pinto delivered the following remarks at the International Conference on Collateral Risk in Berlin, Germany on March 28, 2014.
It is a bit of a stretch-to say the least-for the FSOC to attribute the "shutdown" of the commercial paper market to a supposed "run" on MMFs after the Lehman bankruptcy.
Join us at AEI as the Right Honorable Liam Fox sits down with Marc Thiessen to discuss and debate whether America’s intelligence agencies have infringed on the personal privacy of US citizens.
How can young people succeed in workplaces dominated by curmudgeons who are judging their every move? At this AEI book event, bestselling author and social scientist Charles Murray will offer indispensable advice for navigating the workplace, getting ahead, and living a fulfilling life.