, Columnists
Financial Regulation Calls for 20/20 Vision
Weakening the Financial Stability Oversight Council will raise the odds of another crisis.
The past is prologue.
Photographer: Jin Lee/BloombergThis article is for subscribers only.
One of the central pillars of financial reform, the Financial Stability Oversight Council (FSOC), is under political attack and at risk of coming undone.
In the past, the balkanized U.S. financial regulatory system has consistently failed to address risks that took root in its jurisdictional gaps. The FSOC was created to solve that problem, bringing regulators together to make sure they have the tools to protect the economy from financial crises. It is already making an important difference.