Until the 2008 financial crisis violently shook the foundation of the global economy, the United States federal government had never taken a controlling interest in a publicly traded company chartered under state law.1 While the government has since fully divested from its holdings acquired through the Troubled Asset Relief Program,2 this blog argues that it…
Tag: Financial Crisis
The Government’s Scapegoat
The 2008 financial crisis and the ensuing legislation and regulation under Dodd-Frank have been at the center legal and economic scholarship since the onset of the crisis. How financial actors are to navigate new and uncharted regulatory territory has generally taken center stage. But what if that entire regulatory scheme hinges on the wrong premises? …
Challenging “Too Big to Fail” Designation
The widening scope of the Financial Stability Oversight Council’s “too big to fail” designations has caused alarm in the financial sector and, in the case of MetLife, inspired legal action. In response to the 2008 global financial crisis, Congress formed the Financial Stability Oversight Council (“FSOC”) as part of the reforms initiated by the 2010…