Financial innovation negative consequences will continue to affect the United States

Richmond Federal Reserve Bank (Federal Reserve Bank of Richmond) President Jeffrey M. Lacker said on Tuesday that the negative consequences of financial innovation will continue to affect the U.S. economy.
Lacker said market participants in various ways through technological means the practice of risk diversification will continue to impact the U.S. economy.
Years ago, part of the shares is expected to soar! Confidential! Market institutions will soon be reversed capital flows have changed dramatically! Main layout of the new money is plotting to talk about the U.S. financial system, Lacker said the financial institutions "too big to not fail" the concept of financial reform that Dodd-Frank bill (Dodd Frank Act) are trying to solve these problems. He said the bill attempts to expand the scope of regulation to bank holding companies and other financial institutions. He also pointed out that the federal government bailout of the bill also proposed new restrictions.
Lacker is Tuesday night at the Waldorf Astoria Hotel (The Waldorf Astoria) made the remarks when attending the Alumni Association. He is the U.S. Federal Open Market Committee (Federal Open Market Committee) non-voting member.