According to a common narrative, in addition to inadequate capital and liquidity, the failure of banks in the financial crisis also reflected their poor governance. By governance we mean broadly the oversight that comes from banks' own shareholders and other stakeholders of the way in which they...

In markets with significant scale economies and network effects, scholars and policymakers often tout open access and interoperability requirements as superior to both regulated monopoly and the break-up of dominant firms. In theory, by compelling firms to coordinate to develop common...

The limits of markets as mechanisms for constraining socially suboptimal behavior are well documented. Simultaneously, conventional approaches toward the law and regulation are often crude and ineffective mechanisms for containing the social costs of market failure. So where do we turn when both...

Innovation. The word is evocative of ideas, products and processes which have somehow made the world a better place. In the frothy days leading up to the global financial crisis, many viewed financial innovation as unequivocally falling into this category. Underpinning this view was a pervasive...

While stablecoins could produce important consumer benefits and valuable competition in the payments space, current regulation of stablecoin issuers is woefully inadequate. Legislative solutions are possible but may not be forthcoming any time soon. In the meantime, markets continue to evolve...

This article examines the potential efficacy of macro-prudential financial regulation as a mechanism for preventing future systemic crises. I argue that the potential efficacy of macro-prudential financial regulation will be undermined by (1) the complexity of financial markets and our...

Regulation by litigation has driven U.S. merger regulation to crisis. The reliance on private lawsuits to police disclosures and potential conflicts of interest in mergers, takeovers, and other control transactions has resulted in the filing of claims after every major transaction. However, it...

This article argues that there is a fundamental mismatch between the nature of finance and current approaches to financial regulation. Today's financial system is a dynamic and complex ecosystem. For these and other reasons, policy makers and market actors regularly have only a fraction of the...