The doddfrank act and the new architecture of global finance wiley finance by new york university stern school of business, acharya, viral v. And i was amazed that they would do so in such a short period of time and with such a level of comprehension and clarity as to the issues to consider and evaluate. Because the financial crisis of 200709 started with a bubble in housing prices and was global in nature, the first narrative from analysts and academics focused on the low interest rate policy of the federal reserve in the years preceding the crisis and the global. The doddfrank wall street reform and consumer protection act was signed into law on july 21, 2010 by president barack obama. An act to promote the financial stability of the united states by improving accountability. Be it enacted by the senate and house of representatives. Regulating wall street goes a long way toward clarifying the intent of the various provisions of the doddfrank act and evaluating both its effectiveness and limitations. The doddfrank act and the new architecture of global finance. I especially draw on the work in the volume of my co. Doddfrank wall street reform and consumer protection. Authority to require supervision and regulation of certain nonbank financial companies.
The doddfrank wall street reform and consumer protection act viral v. Choice act versus doddfrank, provides a topicbytopic analysis of doddfrank and the choice acts two approaches to regulation. Create a sound economic foundation to grow jobs, protect consumers, rein in wall street and big bonuses, end bailouts and too big to fail, prevent another. The doddfrank wall street reform and consumer protection act commonly referred to as doddfrank is a united states federal law that was enacted on july 21, 2010. Nyu stern white paper nyu stern school of business. Paralleling in many respects global initiatives of. Creditworthiness standards under the doddfrank act. Treasury by the doddfrank wall street reform act to gather relevant data from all market participants. Acharya a fascinating, lively, and thoroughly readable guide to the doddfrank act that pierces the cloud of confusion that hangs over so much of the financial reform debate. Regulating wall street wiley online books wiley online library. Title vii of the doddfrank act, to be known as the wall street transparency and accountability act of 2010, will impose a comprehensive and farreaching regulatory regime on derivatives and market participants. Authority to require supervision and regulation of certain nonbank finan. It increased regulation of the financial industry with the intent of better protecting customers of the financial industry. The new architecture of global finance, an impressive group of the stern schools top.
Regulating wall street was a joint effort of 40 faculty members and students at nyu stern and was edited by viral v acharya, thomas cooley, matthew richardson and ingo walter. Forty nyu stern faculty, including editors viral v. The doddfrank wall street reform and consumer protection act, commonly known as doddfrank, was passed in 2010 in the wake of the 2008 financial crisis. That 2017 nyu faculty book, regulating wall street. Frank act and the new architecture of global finance, which i coedited. The doddfrank act, officially called the doddfrank wall street reform and consumer protection act, is legislation signed into law by president barack obama in.
For macroeconomists the prologue and the first five chapters might suffice as a must read. The doddfrank act arose from anger and cries for retribution against wall street. The zmetrics methodology for estimating company credit ratings and default risk. Everyday low prices and free delivery on eligible orders. The limitations on their capacity to gather that data without begging for it from unregulated entities was a serious problem during the crisis, kaden said. The obamaera law aimed to prevent another financial meltdown. On the positive side, doddfrank aimed to reduce systemic risk. A view of the doddfrank act based on regulating wall street. Richardson, and ingo walter, provide a definitive analysis of the act, expose key flaws and propose solutions to inform the rules adoption by regulators, in a new book, regulating wall street. One hundred eleventh congress of the united states of america. The new architecture of global finance, an impressive group of the stern schools top authorities on finance combine their expertise in capital markets, risk management, banking, and derivatives to assess the strengths and weaknesses of new regulations in response to the recent global financial crisis. The law overhauled financial regulation in the aftermath of the great recession, and it made changes affecting all federal financial regulatory agencies and almost every part of the nations financial services industry.
The doddfrank act and the new architecture of global finance, wiley finance 1st edition, viral v. I especially draw on the work in the volume of my coeditors. The doddfrank act and the new architecture of global finance, authoringo walter and margot richardson and thomas f. The doddfrank act and the new architecture of global finance, which i coedited.
As such, this chapter is based on the work of 40 or so faculty members and phd students at new york universitys stern school of business nyu stern. The doddfrank act and the new architecture of global finance, edited by v. See the full text of the sarbanesoxley act of 2002. The doddfrank wall street reform and consumer protection act. Reform and consumer protection act the most comprehensive set of. Regulating wall street presents a wide range of new research supporting stronger regulations than doddfrank recommends, such as.
Doddfrank considers the impact both on financial safety and on efficiency. The need for effective implementation by agencies is appropriately emphasized. It is a law that is named after sponsors christopher dodd and barney frank. I had hoped that the chaos would provide the opportunity to re. In the prologue of regulating wall street, the editors, hardly known as progressives, remind financiers how useful strong regulations were in the past. Simon professor of applied economics in the finance department at the leonard n. Authority to require supervision and regulation of certain nonbank finan cial companies. Experts from nyu stern school of business analyze new financial regulations and what they mean for the economy the nyu stern school of business is one of the top business schools in the world thanks to the leading academics, researchers, and provocative thinkers who call it home. Using the url or doi link below will ensure access to this page indefinitely. But a book this intense should not be read by a layman in pdf form.
The doddfrank wall street reform and consumer protection act is a series of federal regulations passed in an attempt to prevent a future financial crisis. Regulating wall street americans for financial reform. The overriding theme of the book is to pose two approaches to attaining financial stability in the future. The doddfrank act and the new architecture of global. Request pdf on nov 29, 2011, matthew richardson and others published regulating wall street. Failures of the doddfrank act regulating wall street. Experts from nyu stern school of business analyze new financial regulations and what they mean for the economy. Doddfrank wall street reform and consumer protection act of 2010. The law specifically prohibits the sec from regulating an nrsros rating methodologies. Wall street reform established the consumer financial protection bureau, the firstever regulator. In some cases, the choice act would slash inefficient regulation in a manner that would not foster systemic risk. This act may be cited as the dodd frank wall street reform and consumer protection act.
Business economics architecture consumer protection laws, regulations and rules economic law interpretation and construction economic reform insurance industry swaps finance. Wall street reform established the consumer financial protection bureau, the first ever regulator. The doddfrank act and the new architecture of global finance, faculty at the nyu stern school of business and the nyu school of law provided a detailed analysis of the strengths and weaknesses of doddfrank. The doddfrank act and the new architecture of global finance find, read and cite all the research. The doddfrank wall street reform and consumer protection act was a financial reform legislation that the obama administration and congress passed in 2010 in response to the 2008 financial crisis. The impact of the doddfrank act on financial stability and economic growth martin neil baily brookings and aaron david klein bipartisan policy center, presentation to the university of. Frank act and the new architecture of global finance. These products, which have not previously been regulated in the united. The risk management implications of the doddfrank act. Doddfrank wall street reform and consumer protection act.
This publication is a compilation of the text of public law 111203. To guard against regulatory silos and hidden risks, wall street. The doddfrank wall street reform and consumer protection act enhances the sec s enforcement mechanisms, and adds a number of requirements on nrsros that are immediately effective i. Regulation of rating agencies, chapter 15 from regulating wall street. Public law 111203july 21, 2010 doddfrank wall street reform and consumer protection act anorris on dsk5r6shh1prod with public laws verdate nov 24 2008 00. For scholars and policymakers in the areas of money, financial institutions, and markets who have not read the 2300 plus pages that describe the doddfrank act, regulating wall street is a must read. The impact of the doddfrank act on financial stability. Registration of nonbank financial companies supervised by the board of. Pdf the doddfrank act constitutes the most significant reform of financial regulation in the united states since the 1930s.
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