# The US is at a critical juncture for financial regulation

1 Opinion April 19, 2017 TheHill.com ![](/sites/default/files/styles/246w/public/assets/images/HillOpEdArticle.jpg?itok=bI5XrDuA) By Matthew Richardson, Kermit Schoenholtz, Bruce Tuckman, Lawrence White > In short, at this critical juncture of financial regulation in the United States, a combination of the best features of Dodd-Frank and the CHOICE Act will foster both a more productive and a safer financial system.

Financial regulation in the United States is at a critical juncture. Federal Reserve Board Governor Daniel Tarullo, the unofficial czar of financial regulation, has just resigned. A new draft of the Financial CHOICE Act, the leading proposal to replace the Dodd-Frank Act, will be introduced this month. The country needs to decide now on the future of financial regulation.

The most burdensome parts of Dodd-Frank should be eliminated, but the government must have regulatory tools to protect the financial system. In particular, the following key issues need to be resolved correctly.

Create an “Off-Ramp” for smaller banks but not for the largest banks. The CHOICE Act’s off-ramp exempts banks that are financed with a specified minimum level of equity from the more complex rules of Dodd-Frank.

Read the full article as published by [*The Hill*](http://thehill.com/blogs/pundits-blog/finance/329371-the-us-is-at-a-critical-juncture-for-financial-regulation).

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*Matthew Richardson, Kermit Schoenholtz, Bruce Tuckman and Lawrence White are professors at the NYU Stern School of Business and are the editors of the recently published book, "[Regulating Wall Street: CHOICE Act vs. Dodd-Frank](http://www.stern.nyu.edu/experience-stern/faculty-research/nyu-stern-faculty-publish-new-book-regulating-wall-street-choice-act-vs-dodd-frank)."*