Study: Strict Derivatives Regulation Could Cost 130,000 Jobs
February 13, 2011
Upwards of 130,000 jobs could be lost if U.S. regulators impose new restrictions on derivatives transactions too broadly, according to a study to be released Monday.
Commissioned by several major business groups, the study estimates that if regulators require all S&P 500 companies to put up 3% cash collateral on every over-the-counter derivative trade. The results show that there is "no upside" to imposing margin requirements on end users, said David Hirschmann, who heads the U.S. Chamber's Center for Capital Markets Competitiveness.
Cross References
Dodd-Frank Act, Title VII