News Headline Summary

Fed's Lacker says crisis in 2007 was worsened by rescue policy

Says:
- Fed's actions increased expectations of support.
- Dodd-Frank 'living wills' for big banks is positive.
- Perception of implicit guarantees for many markets and institutions contributed to 2007-2008 financial crisis.
- Fed's lending action's in Aug. 2007 may have dampened willingness of troubled firms like Bear and Lehman to seek safer solutions.

12 Feb 2013 - 18:29 - Fixed Income Bank Speaker - Source: Newswires

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