This Week in Financial Regulation, October 15th
News and Commentary The Federal Reserve made significant rollbacks to regulations that were enacted after the 2008 financial crisis in a win for the financial industry. The new rules will ease [...]
This Week in Financial Regulation, October 8th
News and Commentary Douglas Holtz-Eakin, president of the American Action Forum, published a blog post about the dangers of allowing Fannie Mae and Freddie Mac to resume operations without the appropriate [...]
This Week in Financial Regulation, October 1st
News and Commentary The Cato Institute's Diego Zuluaga wrote a post about a rule-making letter to the Consumer Financial Protection Bureau. A rule exempting GSE-backed mortgages from debt-to-income ratio rules [...]
Do financial crises cleanse the banking industry? Evidence from US commercial bank exits
We examine the cleansing effect of financial crises via their contribution to the exit of inefficient US commercial banks from 1984 to 2013. We find a larger increase in the [...]
Mortgage Finance in the Face of Rising Climate Risk
Recent evidence suggests an increasing risk of natural disasters of the magnitude of hurricane Katrina and Sandy. Concurrently, the number and volume of flood insurance policies has been declining since [...]
Competition and Strategic Incentives in the Market for Credit Ratings: Empirics of the Financial Crisis of 2007
We study the market for ratings agencies in the commercial mortgage backed securities sector leading up to and including the financial crisis of 2007–2008. Using a structural model adapted from [...]
This Week in Financial Regulation, September 24th
News and Commentary The Cato Institute's, Diego Zuluaga commented publicly on the Consumer Financial Protection Bureau's (CFPB) advanced notice of proposed rulemaking (ANPR) on the Qualified Mortgage Definition under the [...]
This Week in Financial Regulation, September 17th
News and Commentary Since the quasi-privatization of Fannie Mae and Freddie Mac in 1968, the company's investors and executives have longs suspected that the government would be standing ready with [...]
This Week in Financial Regulation, September 10th
News and Commentary The Fed has proposed imposing an 8% risk-adjusted capital requirement on the insurance companies it oversees. These insurance companies are so-called "shadow banks"--major financial institutions who face [...]
This Week in Financial Regulation, September 4th
Rent Check A new paper from Niskanen's own Monica Prasad explores the tradeoff between social insurance and credit. Instead of providing resources to increase consumption by the least well off [...]