Conceptions Of Corporate Purpose In Post-Crisis Financial Firms,
2013
Seattle University School of Law
Conceptions Of Corporate Purpose In Post-Crisis Financial Firms, Christopher M. Bruner
Seattle University Law Review
American “populism” has had a major impact on the development of U.S. corporate governance throughout its history. Specifically, appeals to the perceived interests of average working people have exerted enormous social and political influence over prevailing conceptions of corporate purpose—that is, the aims toward which society expects corporate decision-making to be directed. In this Article, I assess the impact of American populism upon prevailing conceptions of corporate purpose, contrasting its unique expression in the context of financial firms with that arising in other contexts. I then examine its impact upon corporate governance reforms enacted in the wake of the financial …
Shareholders And Social Welfare,
2013
Seattle University School of Law
Shareholders And Social Welfare, William W. Bratton, Michael L. Wachter
Seattle University Law Review
This Article addresses the questions of whether and how shareholders matter for social welfare, finding that different and contrasting answers have prevailed during different periods of recent history. Observers in the mid-twentieth century believed that the socioeconomic characteristics of real-world shareholders were highly pertinent to social welfare inquiries. But those observers went on to conclude that there followed no justification for catering to shareholder interest, for shareholders occupied elite social strata. The answer changed during the twentieth century’s closing decades, when observers came to accord the shareholder interest a key structural role in the enhancement of economic efficiency even as …
Central Bank-Led Capitalism?,
2013
Seattle University School of Law
Central Bank-Led Capitalism?, Andrew Bowman Et Al.
Seattle University Law Review
Since the first acute episode of financial crisis in autumn 2008, the world has manifestly changed in dramatic ways that reinforce skepticism and challenge the old assumptions of political economy. Hence this Article about central banks, whose pivotal role in post-crisis capitalism has not been adequately politically or theoretically addressed in any existing literature and can now be opened up by a conjunctural analysis that recognises uncertainty and mutability. There are several reasons why this is an intellectually and politically interesting task. Central banks have become an object of controversy and public attention after being pivotally involved in crisis management, …
Making Money: Leverage And Private Sector Money Creation,
2013
Seattle University School of Law
Making Money: Leverage And Private Sector Money Creation, Margaret M. Blair
Seattle University Law Review
Contrary to the beliefs of most macroeconomists, the financial sector in the United States has grown too large in the last few decades as a consequence of financial innovation that has encouraged the use of too much “leverage” (financing with debt) by financial institutions (as well as by consumers and other borrowers). In Part II, I connect the dots between excessive leverage, risk, and financial market volatility. In Part III, I explore the role that the “shadow-banking sector” has had in driving leverage. In Part IV, I explain why leverage at the level of financial institutions matters for the macroeconomy. …
The Governance And Disclosure Of The Firm As An Enterprise Entity,
2013
Seattle University School of Law
The Governance And Disclosure Of The Firm As An Enterprise Entity, Yuri Biondi
Seattle University Law Review
During recent decades, the rapid pace of financial markets involving new modes of management, governance, and regulation has framed business firms. This corporate drift toward financialization is summarized under the “shareholder value” label. What do financial markets do? Unequivocally, they organize trading on shares that are securities: tradable financial entitlements established by law, which formalize expectations, and claims of financial rents paid by the issuing company. Actually, how continued quotation on share exchanges came to be the barometer of economic or social welfare is a different matter. The latter adoption has required quite a great leap from “the euthanasia of …
Rationales And Designs To Implement An Institutional Big Bang In The Governance Of Global Finance,
2013
Seattle University School of Law
Rationales And Designs To Implement An Institutional Big Bang In The Governance Of Global Finance, Emilios Avgouleas
Seattle University Law Review
The colossal challenges facing international finance pertain to both its governance system and its dual utility and speculative functions, which have become ever more intertwined with the advent of financial innovation. In the aftermath of the Global Financial Crisis (GFC), a number of significant reforms are under way to address the second issue, including additional capital and liquidity requirements for banks, measures to battle interconnectedness in the financial sector, new resolution regimes that would allow banks to fail more easily, and stricter frameworks for bank supervision and monitoring of systemic risk. Yet limited progress has been made with respect to …
Framing Address: A Framework For Analyzing Financial Market Transformation,
2013
Seattle University School of Law
Framing Address: A Framework For Analyzing Financial Market Transformation, Steven L. Schwarcz
Seattle University Law Review
The title of this Symposium originally was “Rethinking Financial and Securities Markets.” It is, of course, somewhat presumptuous for scholars to try to rethink financial markets per se. Markets, including financial markets, are driven primarily by supply and demand. But scholars can and should try to influence the future of financial markets by rethinking their fundamental aspects. This Symposium presents work from leading scholars in the fields of law, economics, finance, and accounting. I will try to frame the discussion from the perspectives of these four disciplines. First, however, we need to identify what it is about financial markets that …
The Modern Corporation Magnified: Managerial Accountability In Financial Services Holding Companies,
2013
Chicago-Kent College of Law
The Modern Corporation Magnified: Managerial Accountability In Financial Services Holding Companies, Anita Krug
All Faculty Scholarship
This Article first recalls the primary contours of Adolf Berle and Gardiner Means’s acclaimed observations regarding the separation of ownership and control in the “modern corporation,” as well as their conclusions about the implications of those observations for the doctrine of shareholder primacy. Second, the Article describes how the activities of FSHCs generally differ from what we think corporations do and, certainly, from what Berle and Means conceived of as the purpose of corporations or, indeed, any business enterprise. Third, this Article articulates how those business activities render more acute the problem of the separation of ownership and control that …
Conceptions Of Corporate Purpose In Post-Crisis Financial Firms,
2013
University of Georgia School of Law
Conceptions Of Corporate Purpose In Post-Crisis Financial Firms, Christopher M. Bruner
Scholarly Works
American "populism" has had a major impact on the development of U.S. corporate governance throughout its history. Specifically, appeals to the perceived interests of average working people have exerted enormous social and political influence over prevailing conceptions of corporate purpose - the aims toward which society expects corporate decision-making to be directed. This article assesses the impact of American populism upon prevailing conceptions of corporate purpose - contrasting its unique expression in the context of financial firms with that arising in other contexts - and then examines its impact upon corporategovernance reforms enacted in the wake of the financial and …
Revolution In Manipulation Law: The New Cftc Rules And The Urgent Need For Economic And Empirical Analyses,
2013
University of Michigan Law School
Revolution In Manipulation Law: The New Cftc Rules And The Urgent Need For Economic And Empirical Analyses, Rosa M. Abrantes-Metz, Gabriel V. Rauterberg, Andrew Verstein
Articles
Three major banks have now admitted that their employees manipulated worldwide interest rates through the London Interbank Offered Rate (Libor), the most widely used interest rate index. Libor is the interest rate term for trillions of dollars of swaps and loans, and its manipulation may have been used to extract billions of dollars. These allegations come just as commodities manipulation law has been dramatically reformed and the Commodity Futures Trading Commission (CFTC) given vast new regulatory powers. This Article provides the first extended, scholarly analysis of the CFTC’s new anti-manipulation rules. We consider the difficulty the rules address: Commodities manipulation …
A Specter Is Haunting The Financial Industry - The Specter Of The Global Financial Crisis: A Comment On The Imminent Expansion Of Consumer Financial Protection In The United States, The United Kingdom, And The European Union,
2013
Pepperdine University
A Specter Is Haunting The Financial Industry - The Specter Of The Global Financial Crisis: A Comment On The Imminent Expansion Of Consumer Financial Protection In The United States, The United Kingdom, And The European Union, Daniel Lamb
Journal of the National Association of Administrative Law Judiciary
This Comment explores the regulatory fallout from the global financial crisis. Across borders, policy makers are united in their conviction to reconcile the perceived failures of their predecessors to foresee and prevent the crisis, the effects of which show no signs of abating. A critical component of what caused the crisis was the inability to correct failures in the consumer credit market, specifically in subprime mortgages. Exacerbated by an influx of capital and a generally weak regulatory environment, this market failure manifested itself forcefully through a tidal wave of defaults in the American mortgage market that sent shock waves around …
Foreword,
2013
University of North Carolina School of Law
Foreword, Daniel K. Tracey, Lissa L. Broome
North Carolina Banking Institute
No abstract provided.
Only Fools Rush In: Mandatory Audit Firm Rotation And The Pcaob,
2013
University of North Carolina School of Law
Only Fools Rush In: Mandatory Audit Firm Rotation And The Pcaob, Sarah A. Core
North Carolina Banking Institute
No abstract provided.
After The Dodd-Frank Indusrial Loan Company Moratorium: What's Next,
2013
University of North Carolina School of Law
After The Dodd-Frank Indusrial Loan Company Moratorium: What's Next, V. Gerard Comizio
North Carolina Banking Institute
No abstract provided.
"The Price Of Inequality" And The 2005 Bankruptcy Abuse Prevention And Consumer Protection Act,
2013
University of North Carolina School of Law
"The Price Of Inequality" And The 2005 Bankruptcy Abuse Prevention And Consumer Protection Act, Brendan A. Cappiello
North Carolina Banking Institute
No abstract provided.
Regulation Of Microfinance In The United States: Following A Peruvian Model,
2013
University of North Carolina School of Law
Regulation Of Microfinance In The United States: Following A Peruvian Model, Matthew A. Pierce
North Carolina Banking Institute
No abstract provided.
Equator Principles Iii: A Hard Look At Soft Law,
2013
University of North Carolina School of Law
Equator Principles Iii: A Hard Look At Soft Law, Joshua A. Lance
North Carolina Banking Institute
No abstract provided.
The Libor Scandal And Litigation: How The Manipulation Of Libor Could Invalidate Financial Contracts,
2013
University of North Carolina School of Law
The Libor Scandal And Litigation: How The Manipulation Of Libor Could Invalidate Financial Contracts, C. Cowden W. Rayburn
North Carolina Banking Institute
No abstract provided.
Mounting A Judicial Challenge To President Barack Obama's Recess Appointment Of Richard Cordray: The Constitutional Mandate Of Standing,
2013
University of North Carolina School of Law
Mounting A Judicial Challenge To President Barack Obama's Recess Appointment Of Richard Cordray: The Constitutional Mandate Of Standing, S. Austin King
North Carolina Banking Institute
No abstract provided.
Silence Isn't Golden: The Cfpb's Privilege Rule And The Risk Of Failure Under Chevron Step One,
2013
University of North Carolina School of Law
Silence Isn't Golden: The Cfpb's Privilege Rule And The Risk Of Failure Under Chevron Step One, Jacob M. Gerber
North Carolina Banking Institute
No abstract provided.
