Regulation
The Obama administration achieved one small step Thursday, successfully passing legislation that would guarantee oversight of the financial derivatives market. This bill, passed by the House Financial Services Committee on a 43-26 vote, would be the first time the market would be forced to rein in this multi-trillion-dollar industry.
This bill is the first in a series of steps toward the mammoth task of remaking America's financial system following the financial crisis last year. Financial derivatives, the most notorious of which are credit default swaps, have been pegged as the main reason for the failure of the much-maligned insurance company American International Group.
This bill is the first in a series of steps toward the mammoth task of remaking America's financial system following the financial crisis last year. Financial derivatives, the most notorious of which are credit default swaps, have been pegged as the main reason for the failure of the much-maligned insurance company American International Group.
