Write and explain your answer and I will do the video.
Risk Management and the Financial Crisis of 2008 1. Risk H Management assumed an even greater role as the economy recovered from the housing mortgage crisis that peaked in 2008. Poor risk management practices, bad credit approval guidelines, and inaccurate investment rating practices led to many bank failures and economic chaos from 2007 to 2010. This economic chaos extended beyond the borders of the United States into Europe and beyond. 2. The Dodd-Frank Act, officially known as the Wall Street Reform and Consumer Protection Act of 2010, was the regulatory response to the Financial Crisis of 2008. Dodd-Frank is a complex law with many provisions for oversight of financial institutions and their investing and lending activities. The Volker Rule is a provision of the Dodd-Frank act and limits the ability of banks to partake in proprietary trading. The act also created new regulatory agencies such as the Bureau of Consumer Financial Protection. The primary purpose of the Dodd-Frank Act was to increase accountability and transparency of financial institutions. Goals of the act include: o Identifying systematic risk o Decreasing moral hazard o Increasing the stability of the banking industry Provide an orderly liquidation process for failing institutions The Dodd-Frank Act has come under increased scrutiny in the past eight years with concerns over the cost (both financial and economic) of implementation and enforcement of this regulation. 3. Technology has had a significant impact on the field of finance. The Internet has changed the way businesses interact with consumers (B2C) and with other businesses (B2B) and will continue to have a major impact on financial management. Accounts receivable, inventory management and cash management have changed considerably in response to technology. The internet has also made information readily available to consumers and institutions which has impacted the efficiency of markets. Financial Protection. The primary purpose of the Dodd-Frank Act was to increase accountability and transparency of financial institutions. Goals of the act include: o Identifying systematic risk o Decreasing moral hazard o Increasing the stability of the banking industry Provide an orderly liquidation process for failing institutions The Dodd-Frank Act has come under increased scrutiny in the past eight years with concerns over the cost (both financial and economic) of implementation and enforcement of this regulation. 3. Technology has had a significant impact on the field of finance. The Internet has changed the way businesses interact with consumers (B2C) and with other businesses (B2B) and will continue to have a major impact on financial management. Accounts receivable, inventory management and cash management have changed considerably in response to technology. The internet has also made information readily available to consumers and institutions which has impacted the efficiency of markets. Read : Financial Crisis of 2008 Create a "pro-talk" video (between 5 and 7 minutes) that summarizes the financial crisis of 2008 to someone who has never taken a business course. Please use what you have learned thus far in this class, along with what you learned by watching The Big Short and Inside Job to inform your opinions. Be sure to include: Causes of this financial crisis and lessons learned The impact this crisis had on government regulation An explanation of the Dodd-Frank Act Arguments FOR and AGAINST the Dodd-Frank Act Post your pro-talk video to this discussion board. Review the pro-talk videos that your classmates posted and reply to at least two classmates with significant and substantive feedback. Make certain you are following the non- negotiable discussion criteria before you post. Risk Management and the Financial Crisis of 2008 1. Risk H Management assumed an even greater role as the economy recovered from the housing mortgage crisis that peaked in 2008. Poor risk management practices, bad credit approval guidelines, and inaccurate investment rating practices led to many bank failures and economic chaos from 2007 to 2010. This economic chaos extended beyond the borders of the United States into Europe and beyond. 2. The Dodd-Frank Act, officially known as the Wall Street Reform and Consumer Protection Act of 2010, was the regulatory response to the Financial Crisis of 2008. Dodd-Frank is a complex law with many provisions for oversight of financial institutions and their investing and lending activities. The Volker Rule is a provision of the Dodd-Frank act and limits the ability of banks to partake in proprietary trading. The act also created new regulatory agencies such as the Bureau of Consumer Financial Protection. The primary purpose of the Dodd-Frank Act was to increase accountability and transparency of financial institutions. Goals of the act include: o Identifying systematic risk o Decreasing moral hazard o Increasing the stability of the banking industry Provide an orderly liquidation process for failing institutions The Dodd-Frank Act has come under increased scrutiny in the past eight years with concerns over the cost (both financial and economic) of implementation and enforcement of this regulation. 3. Technology has had a significant impact on the field of finance. The Internet has changed the way businesses interact with consumers (B2C) and with other businesses (B2B) and will continue to have a major impact on financial management. Accounts receivable, inventory management and cash management have changed considerably in response to technology. The internet has also made information readily available to consumers and institutions which has impacted the efficiency of markets. Financial Protection. The primary purpose of the Dodd-Frank Act was to increase accountability and transparency of financial institutions. Goals of the act include: o Identifying systematic risk o Decreasing moral hazard o Increasing the stability of the banking industry Provide an orderly liquidation process for failing institutions The Dodd-Frank Act has come under increased scrutiny in the past eight years with concerns over the cost (both financial and economic) of implementation and enforcement of this regulation. 3. Technology has had a significant impact on the field of finance. The Internet has changed the way businesses interact with consumers (B2C) and with other businesses (B2B) and will continue to have a major impact on financial management. Accounts receivable, inventory management and cash management have changed considerably in response to technology. The internet has also made information readily available to consumers and institutions which has impacted the efficiency of markets. Read : Financial Crisis of 2008 Create a "pro-talk" video (between 5 and 7 minutes) that summarizes the financial crisis of 2008 to someone who has never taken a business course. Please use what you have learned thus far in this class, along with what you learned by watching The Big Short and Inside Job to inform your opinions. Be sure to include: Causes of this financial crisis and lessons learned The impact this crisis had on government regulation An explanation of the Dodd-Frank Act Arguments FOR and AGAINST the Dodd-Frank Act Post your pro-talk video to this discussion board. Review the pro-talk videos that your classmates posted and reply to at least two classmates with significant and substantive feedback. Make certain you are following the non- negotiable discussion criteria before you post
