Know your Finance Reform: Too Big to Fail
“Too Big to Fail” Council
A 10-member council of regulators led by the treasury secretary monitor threats to the financial system.The council decides which companies are so big or interconnected that their failures could upend the financial system. Those companies would be subject to tougher regulation.
If such a company teetered, the government can liquidate it. The costs of taking such a company down would be borne by its industry peers.
The council could overturn new rules proposed by the consumer protection agency. That’s supposed to happen only to rules deemed a threat to the financial system.
Posted on July 29, 2010, in Finance Reform 2010, Newspaper & Journal Articles, Politics & The Economy and tagged finance reform, Finance Reform 2010, finance reform bill, too big to fail, Wall Street. Bookmark the permalink. Leave a comment.