Zoellick: Central bankers not cutting it

TEXT OF STORY

Bill Radke: OK, quick poll to get your brains working this morning: Should the Fed or the Treasury take the lead in regulating our financial system? Well, World Bank President Robert Zoellick will give his answer this morning, as Marketplace’s Jennifer Collins reports.

Jennifer Collins: The leader of the World Bank is giving no slack to central bankers around the globe. He says they’ve not addressed risks when it comes to regulating the economy. So Robert Zoellick says give more control in financial reform to the U.S. Treasury.

His comments are part of a speech he’s expected to give today at Johns Hopkins University. The Obama administration has been pushing to put the Fed in charge of overhauling the financial system. But Zoellick says Central Bankers haven’t quite done the job in keeping us out of economic calamity.

Plus the Fed is only a quasi-governmental organization. Congress, on the other hand, has more control over the Treasury. So it may be better able to oversee the Treasury as it regulates those large financial institutions.

I’m Jennifer Collins for Marketplace.