Rodgin Cohen Quoted in IFLR Article on Glass-Steagall

March 28, 2017

On March 28, Rodgin Cohen was quoted in an IFLR article titled “Market rejects Glass-Steagall's return.” The article explores President Trump's approach to financial regulation and the possibility that his Administration will move to reinstate Glass-Steagall. “There is a compelling case for not restoring Glass-Steagall to its 1933 form,” Rodgin said. “I don't think you can come anywhere close to a compelling case for restoring it. It is just a basic philosophical debate; prohibition versus regulation.” Rodgin also noted that economists have largely disproven claims that the Glass-Steagall Act was an appropriate response. “I think every economic historian of substance who has studied the serious banking industry problems in 1929-1935 has concluded that there was no relationship between banks that engaged in securities activity and a bank collapse,” he said.