Following final approval of the sweeping Dodd-Frank Wall Street Reform and Consumer Protection Act on July 15, Obama administration officials are now addressing audiences across the country to explain how and under what timetable they plan to implement the law’s broad intentions. In separate speeches at Wharton this month, Neal Wolin, deputy secretary of the U.S. Department of the Treasury, and Diana Farrell, deputy director of the National Economic Council, outlined the administration’s plans to protect against some of the risks that led to the global financial crisis. Knowledge at Wharton offers coverage of their speeches, along with faculty members’ perspectives on what the new legislation will mean for the U.S. economy.
The Dodd-Frank Financial Regulatory Law: Long-Awaited Cure — or Cause for ‘Wild-Eyed Alarm’?
President Barack Obama’s policy architects say they will begin enforcement of a sweeping new set of financial regulations intended to govern risk-taking on Wall Street and offer greater protection to consumers. The goal is to help the U.S. economy return to prosperity even as troubling signs of a global downturn remain. In recent speeches at Wharton, Neal Wolin, deputy secretary of the U.S. Department of the Treasury, and Diana Farrell, deputy director of the National Economic Council, discussed the financial overhaul and its timetable for implementation.
‘A Major Transformation’: The Pros and Cons of the Dodd-Frank Act
According to Wharton experts, the Dodd-Frank Wall Street Reform and Consumer Protection Actis a good start toward future financial stability, but they warn that significant concerns remain unaddressed, and stress that the details of implementation must be handled carefully to avoid creating new problems. “I don’t think there’s a full appreciation of the major transformation of the financial structure that is upon us,” one faculty member says.