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Cato Daily Podcast

A Reform Agenda for the Securities and Exchange Commission

Apr 8, 2024
Financial regulation expert Jennifer Schulp discusses ways to reform the Securities and Exchange Commission, focusing on increasing regulatory comments, aligning actions with statutes, and following proper procedures. Topics include shortcomings of the SEC, public comments on rule proposals, transparency concerns in rulemaking activities, bias in ALJ process, and the importance of oversight and reform efforts.
13:34

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Quick takeaways

  • SEC needs to improve public comment process for rule proposals to enhance quality.
  • SEC should conduct detailed analyses on costs and benefits of rules to ensure justification.

Deep dives

Challenges of Accountability and Public Feedback at the SEC

The Securities and Exchange Commission (SEC) faces challenges with accountability and public feedback. The agency has struggled with receiving proper public comment on rule proposals, impacting the quality of rules set forth. The shorter timelines for public comment under the Gensler administration have hindered the effectiveness of public feedback. This deficiency in public input extends beyond the current administration, signaling a systemic issue within the SEC.

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