Young adults have an enormous stake in the financial regulatory reform debate. They have paid a high price for a banking crisis caused by lax regulation, and their economic futures will depend on rebuilding strong public structures for financial regulation going forward. This briefing paper addresses some of the key reforms and the impact of both the banking crisis and unregulated lending practices on young Americans' financial futures.
Washington — SenatorAl Franken (D-MN) has introduced a financial-reform amendment that finally addresses the root problem of the credit rating agencies—their built-in conflict of interest. The "Restore Integrity to Credit Ratings" amendment, co-sponsored by Senators Charles Schumer (D-NY) and Bill Nelson (D-FL), substantially embraces a remedy set forth in a recent Demos policy paper on this subject.
Would Re-establish Key Provisions of the Glass-Steagall Act—Limiting Risk Taking by Commercial Banks, Requiring Investment and Insurance Spin-offs, Ending Era of 'Too Big to Fail'
As Congress Takes Up Sweeping Financial Reform, Report Urges Fundamental Change of Ratings Agency Model
Washington, DC — With the House of Representatives and a key Senate committee poised to vote on sweeping financial industry reforms, a new report by Demos finds that the proposed remedies fail to fully address the problems that led the credit rating agencies to become key enablers of the housing bubble and Wall Street meltdown.
Comprehensive and meaningful systemic risk reform must undo many of the ill-advised deregulatory measuresof the past 20 years, including the four key changes wrought by the Gramm-Leach-Bliley Act.
Washington, DC — Today, thousands of Americans are gathering on the streets of Chicago to march against financial service industry excess that has cost the American taxpayers trillions of dollars, destabilized the economy and undermined the stability of millions of US households.
In response to the public outcry against excesses in the financial services industries, dubbed "The Showdown in Chicago", the following statement was issued from Heather McGhee, director of the Washington DC, Office for the public policy and research center Demos:
Arguments Heard Today Suggest Precedents Limiting Corporate Political Influence Under Threat
Washington, DC — Today's argument in Citizens United v. FEC suggests that the Roberts Court is poised to sweep aside century-old restraints on corporate domination of the political marketplace — unless the wisdom of the Court's newest member proves persuasive when the decision is ultimately written.