Financial Regulation

The current administration, President Trump more specifically, is no stranger to violating previously held norms. One of these, writes Jordan Haedtler, was his criticism of the Federal Reserve’s policies--first on [...]

Credit unions are a cousin of more traditional banks, except they provide services to members who are generally part of a similar community. These institutions provide lower-cost financial services to [...]

1. Noah Smith on the role of behavioral finance in financial crises. 2. "Repo" runs in the financial crisis. 3. How EU banks modified their stress test models to underestimate [...]

In late June and early July, the results of the Federal Reserve’s annual stress tests were released, and most US banks did quite well (by the Fed’s standards, at least). [...]

In a new paper published by NBER, Gary Gorton, Toomas Laarits, and Andrew Metrick use a novel data set to determine the role of the “repo” market (where lenders make [...]

We’re approaching the tenth anniversary of the financial crisis, and we can expect a deluge of reflections on the causes and consequences of the worst economic downturn since the Great [...]

New research from Neil Bhutta and Benjamin J. Keys finds that private mortgage insurers (PMIs) increased their risky lending due to moral hazard associated with the requirement that  the government [...]

1. New research: how credit expansion and "flippers" contributed to the housing crisis. 2. New research: moral hazard among Fannie Mae, Freddie Mac, and private mortgage insurers.

A new paper from Atif Mian and Amir Sufi offers some insights on the role of speculative home buying in the housing boom. Credit supply expansion fuels housing speculation, generating [...]

1. The effects of the Tax Cuts and Jobs Act on banks' interest expense deducting. 2. New research on how "flippers" and non-deposit taking institutions influenced the housing bubble.