Financial Institutions (LAW-763-001)
Gelpern
Meets: 10:30 AM - 11:50 AM (TTH) - Room 528
Enrolled: 21 / Limit: 35
Notices
There are no notices at this time.
Description
This course is an introduction to the law of financial institutions against the backdrop of the global financial crisis of 2007-2009. Most of the material will focus on banks. We will situate U.S. bank regulation in the broader context of regulating financial institutions, including investment funds, broker-dealers, and insurance firms, and in the context of other national, regional and international approaches to regulating finance.
In addition to covering U.S. banking law basics – safety and soundness, activities and affiliation restrictions, geographic limits, deposit insurance and supervision – we will consider issues in central banking, resolving complex financial conglomerates, cross-border regulatory cooperation, institutional design for regulating finance, and financial crisis response.
Textbooks and Other Materials
The textbook information on this page was provided by the instructor. Students should use this information when considering purchases from the AU Campus Store or other vendors. Students may check to determine if books are currently available for purchase online.
Course materials:
- Law of Banking & Financial Institutions (Casebook), Carnell 4th ed., ISBN:9780735552852
- Law of Banking & Financial Institutions ('08 Stat Suppl), Macey ISBN:9780735570429
In addition to the reading assignments specified in the syllabus, students are expected to follow financial regulatory developments in the press (for example, The Financial Times, The Wall Street Journal, The Economist, Reuters, Bloomberg, and the business sections in the New York Times, the Washington Post, and other major national and regional publications). In addition, please bookmark and check the following websites regularly:
http://banking.senate.gov/public/
http://financialservices.house.gov/
http://www.fdic.gov/
http://www.federalreserve.gov/
First Class Readings
FILM - Frontline: Breaking the Bank
Reading:
- The Turner Review: A Regulatory Response to the Global Banking Crisis, Chapter 1: What Went Wrong? (March 2009) at http://www.fsa.gov.uk/pubs/other/turner_review.pdf [Read all except *skim* Section 1.2 (U.K.-specific developments).]
- Ben S. Bernanke, Nonmonetary Effects of the Financial Crisis in the Propagation of the Great Depression, 73 Am. Econ. Rev. 257 (Jun. 1983) [Read all except *skim* Part IV to get the gist of the argument; you are not responsible for the math.]
Question for Discussion:
- Please list two-three arguments for and two-three arguments against the merger between Bank of America and Merrill Lynch, as facilitated by the U.S. Government. Was it a good idea? Was it well-executed? Why/why not?