Category Archives: Economists on repo

Gallery

The Panic of 2007-8: What happened?

This gallery contains 1 photos.

Ten years after the Panic of 2007-8, there’s still major disagreement about what caused the financial crisis and the Great Recession. That’s the sobering revelation in a flurry of commentary written for the 10th anniversary of the Lehman bankruptcy. Lehman … Continue reading

Advertisement

Gallery

Bring back our crisis tools

This gallery contains 1 photos.

Editor’s Note:  The following opinion column was published today in my local newspaper, the Santa Rosa (Calif.) Press Democrat. See original column here.  Thanks.   -Mary Fricker By Mary Fricker To prevent the next financial crisis from being worse than the … Continue reading

Gallery

Yelling “Fire!” but no one moves

This gallery contains 1 photos.

Risk is rising in the land of shadow banking. Regulators don’t know how to track it, they don’t know what to do about it and it’s not going to end well. Those are the implications of recent reports whose authors … Continue reading

Gallery

At mid-year, repo is like an ancient fable

This gallery contains 1 photos.

Today’s repurchase market is like the ancient fable of the six blind men and the elephant, where the blind men offer very different descriptions of what each saw when they touched an elephant in a different spot. The only thing … Continue reading

Gallery

2016 news round-up: So little has changed

This gallery contains 1 photos.

The biggest news about the repurchase market in 2016 was how little has changed since 2008. A year ago, the future looked brighter. 2015 was a hopeful year for people who want to see a solution to the risks that … Continue reading

Gallery

Repos make the news

This gallery contains 1 photos.

The big news about the repurchase market in 2015 was that it made the news. After decades when the largest financial market in the world rarely appeared in public, in 2015 repos finally hit the big time. At least 140 … Continue reading

Gallery

Lenders drove the boom and the bust

This gallery contains 1 photos.

In the years leading up to the 2008 financial crisis, trillions of new dollars flooded into housing.  Why? Was it coaxed into the housing market by borrowers who convinced bankers they could pay back the loans? No. It gushed into … Continue reading

Gallery

Bankruptcy act of 2005 worsened boom and bust

This gallery contains 1 photos.

One puzzle about the 2008 financial crisis is what caused the financial markets to bubble and burst at that particular time. One reason was The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005.  Its provisions encouraged lenders to lend into … Continue reading

Gallery

Economists who best understand repo are still working to stabilize it: 2014 in review

This gallery contains 1 photos.

A series of conferences and reports in the second half of 2014 show that the economists who best understand the repo phenomenon are still worried about it and working to stabilize it. This is welcome news, after months of concern … Continue reading

Gallery

U.S. Regulators: Repo is vital, and it’s dangerous

This gallery contains 1 photos.

In the past three months, U.S. regulators have issued nine warnings about danger in the repo market, a market they repeatedly describe as critical to the worldwide financial system but needing reform. Is anyone listening? The Financial Stability Oversight Council, … Continue reading

Gallery

The future looks a lot like the past

This gallery contains 1 photos.

“Regulation of shadow banking is starting to look more and more like regulation of traditional banking 100 to 150 years ago, when it took decades of runs on banks, bank failures and economic agony before  Congress in 1933 finally approved … Continue reading

Gallery

NY Fed chief lays it on the line, for bankers and for the rest of us

This gallery contains 1 photos.

It felt like “The Gunfight at the O.K. Corral.” First to appear was departing Treasury Secretary Timothy Geithner, who told Wall Street Journal economics editor David Wessel in a wide-ranging exit interview January 17 that the financial markets are much … Continue reading

Gallery

Economists and other analysts see value, danger in repo and shadow banking, urge reform

This gallery contains 2 photos.

Latest update: October 2, 2012 In recent months economists and other experts have published a torrent of reports on repo and shadow banking, noting their importance and their dangers and urging reform. Following are 74 of the reports, arranged chronologically … Continue reading

Gallery

Repos are at the heart of the European distress

This gallery contains 1 photos.

As financial markets convulse over the European Union once again, RepoWatch would like to remind its readers that at the heart of the problem lies the repurchase market. Yes, some European countries spent too much money and now are burdened … Continue reading

Gallery

Shadow banking, part 3: Some experts call for FDIC-style safety net for shadow banking

This gallery contains 1 photos.

The financial crisis showed that the safety net for traditional banks can work. Although 436 banks failed from January 2008 through April 2012 – some large, like Washington Mutual, but none the size of Lehman Brothers – the FDIC handled … Continue reading

Gallery

Shadow banking, part 2: Lack of shadow master plan means impact of new rules is uncertain

This gallery contains 1 photos.

The shape of shadow banking reform is now clear. Congress and regulators are going to put a bunch of new rules in place, but they’re not going to articulate a coherent vision of what shadow banking should, or should not, … Continue reading

Gallery

Shadow banking, part 1: Failure to reform shadows hurts economy, endangers financial markets

This gallery contains 1 photos.

Updated June 18, 2012 One of the failures of the Dodd-Frank Act was in not restructuring shadow banking, with a sturdy repo market at its heart, so it could safely gear back up to boost credit and help the economy … Continue reading

Gallery

News round-up: Repo and shadow banking A to Z

This gallery contains 1 photos.

RepoWatch recommends the following reports. Search for the topics that interest you: DataWatch, Financial crisis, Finding a fix, Hedge funds, Regulation, Repurchase market, Securities lending, Securitization, Shadow banking, Too big to fail, and Tri-party repo. Items are arranged chronologically, within … Continue reading

Gallery

News roundup: Repo and shadow banking in the crosshairs

This gallery contains 1 photos.

Repo and shadow banking have been getting a lot of attention lately. It’s rewarding that an understanding of their importance is spreading. RepoWatch recommends the following reports, arranged within topics that are listed alphabetically: Financial crisis “Getting up to speed … Continue reading

Gallery

Part 2: Here’s the data regulators need to collect on repo

This gallery contains 1 photos.

To spot the build-up of systemic risk in the financial markets, regulators need to collect six bits of information about every repo and securities lending transaction, according to a report from four economists at the Federal Reserve Bank of New … Continue reading