Has Ben Bernanke Just Gone to Bat for Dodd-Frank in His Boston Fed Talk?
Yes. Or, rather, he has just gone to bat for Super Dodd-Frank:
Merrill Goozner emails some quotes:
"One of the most important legacies of the crisis will be the restoration of financial stability policy to co-equal status with monetary policy…. The diverse tools of financial regulation and supervision, together with appropriate monitoring of the financial system, should be, I believe, the first line of defense against the threat of financial instability…. [A]dequate levels of capital and liquidity in the banking sector… increase the resiliency of the financial infrastructure…. [Countercyclical] varying caps on loan-to-value ratios on mortgages…. [D]ynamic provisioning for losses by banks…. [Countercyclical] time-varying margin and haircut rules; and countercyclical capital requirements… (to) damp the buildup of imbalances and bolster the resilience of the financial sector to a decline in asset prices by increasing its capacity to absorb losses…"
Merrill Goozner: http://www.thefiscaltimes.com/Articles/2011/10/18/Bernanke-Hangs-Tough-on-Financial-Reform.aspx
