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25 Jun 2010, 9:22 am by James Hamilton
Investors were afraid to trade as Bear Stearns, AIG, and Lehman Brothers failed because any new transaction could expose them to more riskIn an effort to address the systemic risk to the financial markets posed by derivatives, the Senate legislation would mandate, for the first time, the federal regulation of derivatives under a dual SEC-CFTC regime that emphasize transparency. [read post]