We've been waiting to see the White House proposal for regulatory reform. (Let's just call it the plan for How To Prevent This From Happening Again.) Tim Geithner and Larry Summers have an op-ed in the Washington Post this morning, giving a preview. It's interesting to compare the emerging plan with Geithner's testimony on the hill in March. Back then he said:
"We can't allow institutions to cherry pick among competing regulators, and shift risk to where it faces the lowest standards and constraints."
That was when there was talk about eliminating some regulators, like the Office of Thrift Supervision, which oversaw AIG.
There's no mention of that in the op-ed today.