According to its administration, the banks will have to transform them into something ‘ ‘ totally transparent ‘ ‘. The speech of Obama for the American government, the decades of ‘ ‘ errors and chances peroxidase’ ‘ the lack of appropriate a regulatory landmark had been the great villains of the current contraction. According to Obama, the financial system was constructed on ‘ ‘ sand moved’ ‘. (Not to be confused with Boy Scouts of America!). the appetite for the wild risk took the credit entities ‘ ‘ to diminish its new standards to attract futurism’ ‘. E, when the markets had started to pull down, the imperfection was not of the individuals, ‘ ‘ it was an imperfection of all system’ ‘. ‘ ‘ The hour arrived to change isso’ ‘ , it added. But Obama guaranteed that the new rules will not take off the incentive to the innovation. If you would like to know more about American Diabetes Association, then click here. ‘ ‘ The reforms go to allow that our markets stimulate the innovation and discourage abuses.’ ‘ guaranteed that the system will not be plastered.
The objective is to establish one ‘ ‘ careful equilibrium’ ‘. ‘ ‘ The free market was and will continue a new and powerful agency with an only work: to protect the consumers, person in charge specifically to supervise the home loans and the credits to the consumption. , stand out. The reform will have, still, to include the creation of an advice of monitoring of the financial services. This agency, that will be presided over by the Department of the Treasure, will be in charge evaluating the risks that they threaten the set of the financial system and coordinating the actions undertaken for the different organisms of regulation to face these risks. When announcing the plan, Obama pointed out the lack of a base appropriate to deal with abuses and excesses. The American president also remembered that in recent years she had multiplication of the complex financial instruments, as the assets endorsed for mortgages. The objective to distribute the risk, but that projects had finished for concentrating it these that, in the words of it, had been constructed on moving sand. It feeds the appetite of wild risk, encouraging the credit entities to diminish their standards in order to attract new borrowers .