Regulating the Unknown: Can Financial Reform Prevent Another Crisis?
On: 06/17/2010 Views: 11
Congressional negotiators are ironing out differences in two mammoth financial reform bills -- one passed in the House in December, the other by the Senate in May. Backers say the result will prevent the kinds of excesses that led to the financial crisis. Yet, while some of the measures likely to become law may help, there would still be plenty of risk left in the system, according to several Wharton faculty members. "[The proposed reform] is not, ultimately, a game-changer in terms of preventing a crisis," says Wharton real estate professor Susan M. Wachter.