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Yellen, Janet L. on 2017 April 10 at 16:00

You know, there is a lot of focus on regulatory burden. I don't think if you look at objective data on lending that it's possible to make the case that regulation has simply stifled lending. Lending has grown in a very healthy way as the economy has recovered, and I think what we see is stronger banks that are better capitalized are in a better position to lend.

I think we've accomplished a lot. We have a much safer system, but we always have to be aware of risks outside the perimeter of what we regulate, and when we regulate one sector, there's a natural tendency for activity to migrate outside its boundaries. And so we do have to be attentive to what's happening in the shadow banking system as well... You know, there is a lot of focus on regulatory burden. I don't think if you look at objective data on lending that it's possible to make the case that regulation has simply stifled lending. Lending has grown in a very healthy way as the economy has recovered, and I think what we see is stronger banks that are better capitalized are in a better position to lend. Yellen, Janet L.

University of Michigan

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