Crises, Credit Scores, and Congress: the Front Lines of Financial Regulation

In this latest episode of Policy Punchline, we dive deep into the world of financial regulation and economic policy with our distinguished guest, Aaron Klein. Klein, the Miriam K. Carliner Chair and Senior Fellow in Economic Studies at the Brookings Institution, brings a wealth of experience from his pivotal roles in shaping U.S. financial policy. His journey—from the halls of Princeton's School of Public and International Affairs to the front lines of financial regulatory reform in DC—provides a unique lens through which we explore the ever-evolving landscape of economic policy. As a key player in the development of the Dodd-Frank Act, Klein draws on his firsthand experience to shed light on the successes and pitfalls of pre- and post-Crisis regulations.

Throughout our conversation, Klein touches on his time in Congress to explain what the institution can and cannot do well to respond to financial crises, explores regulatory nuances from predatory banking practices to consumer credit, and emphasizes the pivotal role of technology in reshaping financial services. We explore the profound implications of AI in consumer credit allocation, the debate around central bank digital currencies (CBDCs), and the evolving frontier of cryptocurrency regulation. From Klein's critique on the recent AI Executive Order to his perspective on the structural flaws within American central banking, this episode promises a comprehensive exploration of the intersections between financial regulation, technology, and economic policy. Join us as the Brookings scholar and Congress veteran walks us through the wild world of financial regulation.

Aaron Klein