Restoring Financial Stability : How to Repair a Failed System

by Editor: Viral Acharya; Editor: Matthew Richardson; New York University Stern School of Business

• ISBN13: 9780470501085
• ISBN10: 0470501081
• Format: eBook
• Copyright: 2009-04-01
• Publisher: Wiley

Summary

An insightful look at how to reform our broken financial systemThe financial crisis that unfolded in September 2008 transformed the United States and world economies. As each day's headlines brought stories of bank failures and rescues, government policies drawn and redrawn against the backdrop of an historic Presidential election, and solutions that seemed to be discarded almost as soon as they were proposed, a group of thirty-three academics at New York University Stern School of Business began tackling the hard questions behind the headlines. Representing fields of finance, economics, and accounting, these professors-led by Dean Thomas Cooley and Vice Dean Ingo Walter-shaped eighteen independent policy papers that proposed market-focused solutions to the problems within a common framework. In December, with great urgency, they sent hand-bound copies to Washington. Restoring Financial Stability is the culmination of their work. Proposes bold, yet principled approaches-including financial policy alternatives and specific courses of action-to deal with this unprecedented, systemic financial crisis Created by the contributions of various academics from New York University's Stern School of Business Provides important perspectives on both the causes of the global financial crisis as well as proposed solutions to ensure it doesn't happen again Contains detailed evaluations and analyses covering many spectrums of the marketplaceEdited by Matthew Richardson and Viral Acharya, this reliable resource brings together the best thinking of finance and economics from the faculty of one of the top universities in world.

Table of Contents

Foreword

Acknowledgments

Prologue: A Bird's Eye View

The Financial Crisis of 2007-2009: Causes and Remedies By

Causes of the Financial Crisis of 2007-2009 By

Mortgage Origination and Securitization in the Financial Crisis By

How Banks Played the Leverage "Game" By

The Rating Agencies Is Regulation the Answer By

Financial Institutions By

What to Do About the Government Sponsored Enterprises By

Enhanced Regulation of Large Complex Financial Institutions By

Hedge Funds in the Aftermath of the Financial Crisis By

Governance, Incentives and Fair Value Accounting Overview By

Corporate Governance in the Modern Financial Sector By

Rethinking Compensation in Financial Firms By

Fair Value Accounting Policy Issues Raised by the Credit Crunch By

Derivatives, Short-Selling and Transparency By

Derivatives The Ultimate Financial Innovation By

Centralized Clearing for Credit Derivatives By

Short Selling By

The Role of the Fed By

Regulating Systemic Risk By

Private Lessons for Public Banking: The Case for Conditionality in LOLR Facilities By

The Bailout By

The Financial Sector "Bailout" Sowing the Seeds of the Next Crisis By

Mortgages and Households By

Where Should the Bailout Stop By

International Coordination..

International Alignment of Financial Sector Regulation By

NYU Stern Author Biographies

Index

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