Category: Economics

The future of derivatives trading

As the Senate is poised this week to vote on the House-passed compromise bill reforming the financial regulatory system, Law Professor Tamar Frankel, an authority on securities law and author of “Trust and Honesty: America’s Business Culture at a Crossroad,” speculates about the future of derivatives trading once the reform act is enacted.  More important […]

G-20 nations pledge to deal with debt

The Group of 20 industrialized nations wrapped up their meeting in Toronto promising to have their government deficits by 2013 and “stabilize” debt loads by 2016, signaling to domestic political audiences and international markets that they’re serious about reducing stimulus spending.  But economics Professor Laurence Kotlikoff, author of “Jimmy Stewart is Dead” about the future […]

Congress eyes credit-rating agencies

The Congressionally sponsored bipartisan Financial Crisis Inquiry Commission now has cast its eyes on the credit-rating agencies and the impact they may have had on the Great Crash of 2008.  Law Professor Elizabeth Nowicki, a veteran attorney from both Wall Street and the Securities and Exchange Commission, says the agencies are both hopelessly plagued by […]

Geithner urges global financial reform

Treasury Secretary Timothy Geithner is visiting with his European counterparts to say that the U.S. and Europe broadly agree on the need to reform the financial system but that global cooperation is needed.  Law Professor Cornelius Hurley, director of the Morin Center for Banking and Financial Law and a former counsel to the Federal Reserve […]

German trading ban roils markets

Because no one followed suit, Germany’s unlateral ban on “naked” short selling of European government bonds – speculative bets that prices will fall on borrowed assets which then can be sold back to the lender with the speculator pocketing the difference –rocked global markets.  Mark Williams, who teaches finance at the BU School of Management and is […]

Financial regulatory reform stalled

Acknowledging the political risk of appearing to stall a popular cause, Senate Republicans voted to delay the start of floor debate on the financial regulatory reform bill — at least without some concessions first.  Experts from three BU schools — Law Professor Cornelius Hurley, Mark Williams, who teaches finance at the School of Management, and political science Professor […]

Driving derivatives deregulation

With efforts to regulate the trading of derivatives stalling in the Senate Banking Committee, members of the Senate Agriculture Comittee are taking a stab at it, hoping to add it to an 0verall financial reform bill the banking panel is crafting.  Law Professor Elizabeth Nowicki, both a former SEC attorney and Wall Street lawyer, says […]

Fighting foreclosures

The Obama administration announced a new strategy to fight home foreclosure, including requiring lenders to cut or eliminate monthly mortgage payments for many jobless homeowners.  School of Management Finance & Economics Department chair Professor Jack Aber says some borrowers may unfairly benefit at the expense of others, but breaking the impass still makes sense. “Purging […]