One year after the signing of the Dodd-Frank financial regulation reform legislation, regulators and market watchers say there are still a lot of hurdles to overcome to avoid another financial meltdown.
Professor Matthew Richardson says, "I would give like Dodd-Frank like a B because something had to get done and you know it's difficult to get anything done in Washington so the fact that something was actually passed was actually a positive. I think, my concern is when I look at the rules, as they begin to come out, like the rules on capital requirements that came from Basle it was more of the same than what we had before so I'd probably drop the grade a little bit."
The Dodd-Frank Act, signed into law in July 2010, represented the most significant and controversial overhaul of the U.S. financial regulatory system since the Great Depression. Forty NYU Stern faculty, including editors Viral V. Acharya, Thomas F. Cooley, Matthew P. 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: The Dodd-Frank Act and the New Architecture of Global Finance (Wiley, November 2010).