This Week in Financial Regulation, December 10th
News and Commentary Paul Volcker passed away this week at the age of 92. While he is most famous now for (among other things) the Volcker Rule, it is also [...]
This Week in Financial Regulation, December 3rd
News and Commentary A column from VoxEU examines the role of liquidity, as opposed to capital, requirements in macroprudential policy. While liquidity requirements are traditionally viewed in the context of [...]
This Week in Financial Regulation, November 26th
News and Commentary To become private again, Fannie Mae and Freddie Mac will have to raise $180 billion in capital. A hefty requirement meant to ensure the pair stay financially [...]
This Week in Financial Regulation, November 19th
News and Commentary Increasingly loans are being issued from so-called shadow banks, institutions that are not regulated like banks but still have long term assets and short term liabilities. This [...]
Policy uncertainty and the maturity structure of corporate debt
This study examines the effect of policy uncertainty on corporate debt maturity structure. We find that elevated levels of policy uncertainty lead firms to shorten debt maturity, indicating that firms [...]
Does machine learning help us predict banking crises?
This paper compares the out-of-sample predictive performance of different early warning models for systemic banking crises using a sample of advanced economies covering the past 45 years. We compare a [...]
Is the CRA Still Relevant to Mortgage Lending?
Market share of conforming-size, home purchase mortgage originations has steadily and substantially shifted from banking institutions to nonbank lenders over recent years. In 2017, nonbanks originated more than 1.8 million [...]
This Week in Financial Regulation, November 12th
News and Commentary Paul Krugman has published an op-ed criticizing "Wall Street snowflakes" for their opposition to Elizabeth Warren's candidacy. Krugman's polemics aside, he makes two important points. First, banks got [...]
This Week in Financial Regulation, November 5th
News and Commentary An op-ed in The Hill by Laura Kodres argues that 10 years after Dodd-Frank, we need to rethink the legislation. Specifically, she argues for reexamining the Volcker Rule, the [...]
This Week in Financial Regulation, October 29th
Rent Check Based on new research related to the political dysfunction that emerged as a response to the 2008 financial crisis, capital requirements should be "above-optimal" to incorporate the costs [...]