As part of his farewell tour, Thomas Hoenig, vice chairman of the Federal Deposit Insurance Corporation, has candidly addressed the effect of prudential standards and regulatory initiatives on big bank bailouts.
Hoenig, after six years with the FDIC, will be stepping down from the post. But he is not going quietly. In a March 28 speech delivered to the Peterson Institute for International Economics in Washington, D.C., he discussed the idea of “Finding the Right Balance” when it comes to the push-pull of regulation and de-regulation versus prudential standard-setting.
