Myron Scholes Forum, September 24, 2012
Troy Paredes, commissioner, U.S. Securities and Exchange Commission.
The Dodd-Frank Act seeks to mitigate the prospect of a future financial crisis, but the Act is just the beginning. The SEC faces tough policy decisions as it implements key aspects of the legislation. This is in addition to the agency’s other regulatory responsibilities, including enforcing the federal securities laws. The discussion will be motivated by such questions as, What policy tradeoffs do we confront when implementing Dodd-Frank? Is there a risk of overregulation? What are the effects of regulatory uncertainty? What is the role of cost-benefit analysis in regulating the securities markets? How can the SEC make the best use of data? These questions remain timely as the implementation of Dodd-Frank continues.