WSJ: “The 85-page proposal is part of an effort by the Obama administration to redraw the rules that govern finance in an attempt to restore confidence in U.S. and global markets. Obama administration officials want the rules to be tough enough to correct some of the damage caused by the financial crisis last year but not so restrictive that they stifle innovation. The paper says the administration has stopped short of calling for all changes that could be seen as “desirable” and pushed only for those they see as “essential” to reform..The administration’s proposal would give the government the power to take over and wind down a large financial company, a power that government officials lacked last year when the financial crisis was intensifying. It would also give the central bank more powers over the payments and settlements systems that money flows through in U.S. financial markets, to prevent against a breakdown in these areas that officials fear could destabilize the economy.”
- “A transcript of The Journals interview with President Obama, which touches on financial-regulatory reform, the power of free markets, health care and Bernankes future at the Fed.”
- Related postings on financial system
