CALLING OUT THE BANKSTERS

The chairman of the NY branch of the Federal Reserve is primus inter pares and what he or she says cannot be dismissed as mere punditry so these remarks by William C. Dudlet, the current NY Fed chair, are very impressive:

Some argue that what I have proposed—higher capital requirements and better incentives that reduce the probability of failure combined with a resolution regime that makes the prospect of failure fully credible—are insufficient.  Perhaps, this is correct.  After all, collectively these enhancements to our current regime may not solve another important problem evident within some large financial institutions—the apparent lack of respect for law, regulation and the public trust.  There is evidence of deep-seated cultural and ethical failures at many large financial institutions.

Reports of these remarks did make Memeorandum but there are only 5 other links at the moment.