The United States has now experienced two historic economic crises in the 21st century — the first caused by the rupture of a housing bubble and the second caused by a pandemic. And, in 2023, the collapse of Silicon Valley Bank threatened a third. How did financial policymakers and regulators react during and after these crises? And how might regulations change again, particularly given the tremendous growth in bank-like financial innovations and digital assets such as cryptocurrencies?
In this course, we will explore regulatory frameworks — their origins, strengths, and weaknesses — across the U.S. financial sector, from banks, insurance companies, and broker-dealers, to asset managers and complex financial conglomerates. We will also examine a range of regulatory techniques, including supervision, enforcement, and rule-writing, as well as crisis-fighting tools such as resolution and the Federal Reserve’s emergency powers. In short, students will be immersed in the study of an interdisciplinary field that crosses administrative law, finance, and public policy, with consequences for the entire global economy.