The Regulatory Aftermath of the Global Financial Crisis

The EU and the US responded to the global financial crisis by changing the rules for the functioning of financial services and markets and by establishing new oversight bodies. With the US Dodd–Frank Act and numerous EU regulations and directives now in place, this book provides a timely and thoughtful explanation of the key elements of the new regimes in both regions, of the political processes which shaped their content and of their practical impact. Insights from areas such as economics, political science and financial history elucidate the significance of the reforms. Australia's resilience during the financial crisis, which contrasted sharply with the severe problems that were experienced in the EU and the US, is also examined. The comparison between the performances of these major economies in a period of such extreme stress tells us much about the complex regulatory and economic ecosystems of which financial markets are a part. Reviews: 'With some exceptionally insightful analysis from four leading academics this book illuminates the rationales and objectives of post-crisis regulatory reform in three key jurisdictions: EU, US, and Australia. Essential guide for all those who wish to understand better the principal drivers of reform in global financial markets and its likely impact.' Emilios Avgouleas, Chair in International Banking Law and Finance, University of Edinburgh 'Few other projects bring together such far-flung, leading thinkers on financial regulation and its cross-border ramifications. Rigorous, thoughtful, and enlightening - the book lays bare the unfolding supervision of financial services and markets from a unique comparative perspective.' Chris Brummer, Georgetown University 'The financial crisis has brought massive regulatory changes to financial system regulation which would have been unthinkable a few years ago. In this book, four of the best international experts in financial regulation share their views as to the regulatory developments in three major jurisdictions (European Union, United States, and Australia).' Pierre-Henri Conac, University of Luxembourg 'The four chapters of this book provide the reader with an excellent analysis of post-crisis financial reforms in Europe and the US and an answer to the question of why the crisis did not hit Australian financial markets. An enlightening mix of legal, economic, and political insights is used to guide the reader into the most dramatic changes of the financial law landscape in the last decades.' Luca Enriques, Harvard Law School 'This ambitious collection brings coherence to the multifaceted and complex regulatory responses to the global financial crisis. With contributions from many of the leading scholars of international finance, The Regulatory Aftermath [of the Global Financial Crisis] portrays institutional reforms that are simultaneously massive and fluid. The volume reveals a new financial architecture built upon major national reforms within a significantly more interconnected system of cross-border supervisory coordination. An invaluable roadmap for academics, policy makers, and practitioners.' Howell E. Jackson, James S. Reid, Jr, Professor of Law, Harvard University

1. Crisis-driven regulatory reform: where in the world is the EU going?; 2. The legacy effects of the financial crisis on regulatory design in the EU; 3. Why did Australia fare so well in the global financial crisis?; 4. The political economy of Dodd–Frank: why financial reform tends to be frustrated and systemic risk perpetuated.