Marketplace Morning Report for Tuesday, October 14, 2014
A lot of lending isn't subject to regulation; It takes place in what's called the shadow banking sector. The players are hedge funds, money market funds, and private equity groups. This posed a big problem during the financial crisis, as there wasn't enough liquidity. Now, international regulators have come up with a new rule designed to keep that from happening again. Plus, many banks are expected to announce quarterly earnings today, and many analysts expect to see profits in a place that's hasn't been that exciting, traditionally: credit cards. And the French economist Jean Tirole is the newest Nobel laureate. The Swedish Academy called him "one of the most influential economists of our time."
Tirole's spent his career studying regulation and how markets work, concluding different sectors have to be regulated differently. A few hours after Jean Tirole was named the recipient of this year's Nobel Memorial Prize in Economic Science, we spoke with him by phone.
A lot of lending isn’t subject to regulation; It takes place in what’s called the shadow banking sector. The players are hedge funds, money market funds, and private equity groups. This posed a big problem during the financial crisis, as there wasn’t enough liquidity. Now, international regulators have come up with a new rule designed to keep that from happening again. Plus, many banks are expected to announce quarterly earnings today, and many analysts expect to see profits in a place that’s hasn’t been that exciting, traditionally: credit cards. And the French economist Jean Tirole is the newest Nobel laureate. The Swedish Academy called him “one of the most influential economists of our time.”
Tirole’s spent his career studying regulation and how markets work, concluding different sectors have to be regulated differently. A few hours after Jean Tirole was named the recipient of this year’s Nobel Memorial Prize in Economic Science, we spoke with him by phone.
