The three panel hearing focused on the feasibility of size and leverage ratios being applied to the nation’s larger financial institutions.

Former Fed Board Chairman, Paul Volcker, urged more certainty about the possibility of government financial assistance in the event a systemically important financial institution faces insolvency. He also spoke for immediate implementation of the so-called Volcker Rule, regulations to implement the Dodd/Frank prohibition on proprietary trading.

On the second panel, FDIC Board Member Thomas Hoenig,suggested a return to Glass-Steagall-like traditional banking activities. The Chicago Business School Professor, Randy Kroszer, urges additional cost/benefit analysis of regulations as the way to regulate a more stabile financial industry.

The third panel featured witness from the private sectors, including Better Market’s Chief Economist. Dr. Jasulic urged downsizing institutions by reduction of the amount of leverage a financial institution may lend at and the prompt implementation of the Volcker Rule.