In a paper in which he examined “what is the role of government in reducing systemic risk
in the financial markets”, John B. Taylor (2009)31 identified that government officials were
now proposing new legislation to expand significantly the role of government in the financial
sector. He identified that the heads of the US Treasury Department, the Federal Reserve Board,
the Federal Deposit Insurance Corporation (FDIC) and the SEC have all proposed the creation
of a “systemic risk regulator” which would be a new standalone agency, or part of the Fed
or a new council of existing regulators.