Clark Center Forum

September 25th, 2009 Thoughts from Anil Kashyap on priorities for financial system regulatory reform.  “Where do we go from here” are his remarks at the Federal Reserve Bank of Chicago’s 12th International Banking Conference September 25, 2009. Read remarks> 

Testimony of John Cochrane in “Experts‘ Perspectives on Systemic Risk and Resolution Issues“ before the House Financial Services Committee, United States House of Representatives – September 24, 2009 Read testimony spoken before Committee> Read testimony of record> 

John H. Cochrane and Luigi Zingales Wall Street Journal, September 15, 2009 One year ago today Lehman Brothers filed for bankruptcy. The weeks that followed are among the most dramatic in U.S. history. They led to a massive government intervention in the financial system—an intervention that will likely change that system forever. Many people say […] 

American Media’s Marketplace, September 10, 2009 Professor Luigi Zingales speaks with Marketplace’s host, Kai Ryssdal, about Lehman Brothers’ collapse last year and how the trust between Americans and the financial sector was destroyed, and what it will take to restore it. Listen to interview> 

Planet Money; NPR, Sept 10, 2009 The dramatic collapse of financial markets in the fall of 2008 captivated the world’s attention and sent the stock market reeling. But the collapse of financial markets was a symptom of a more troubling underlying condition: U.S. households dramatically increased their leverage, or debt, from 2001 to 2007. Our research suggests […] 

National Affairs The economic crisis of the past year, centered as it has been in the financial sector that lies at the heart of American capitalism, is bound to leave some lasting marks. Financial regulation, the role of large banks, and the relationships between the government and key players in the market will never be […] 

Economist.com How big an influence on spending is housing wealth? Hopes for a consumer revival in countries where house prices have slumped rest, in part, on the answer. A purist view is that the value of homes has no “wealth effect” on consumption. An increase in house prices only raises the future cost of shelter. […] 

FT.com, August 20, 2009 The US is likely to start growing over the next few quarters. But US households are likely to remain subdued, as they cope with high debt and the prospect of unemployment. As the fiscal stimulus wears off, and the massive buildup of US government debt limits spending, the world will look […] 

FT.com, August 17, 2009 Sir, Lucian Bebchuk has strongly endorsed the House of Representatives’ decision to regulate the pay structure of the entire financial sector (“Regulate financial pay to reduce risk-taking”, August 4). Financial institutions are special, argues Prof Bebchuk, because they impose costs on taxpayers that they do not internalise. This specialness warrants a […] 

Anil K. Kashyap and Takeo Hoshi During the financial crisis that started in 2007, the U.S. government has used a variety of tools to try to rehabilitate the U.S. banking industry. Many of those strategies were used also in Japan to combat its banking problems in the 1990s. There are also a surprising number of […]