Geithner Vows to Make Public Stress Test Models

  • JJ Hornblass
  • September 10, 2009
  • 0

Treasury Secretary Timothy Geithner today promised to share the federal government’s stress test models with the Congressional Oversight Panel and the public.

Geithner said at a combative COP hearing today that Treasury would at the least make public enough components of the stress test to allow average Americans to run their own tests of US banks.

Geithner made the commitment to release the stress test data and details in response to pointed requests from COP Chair Elizabeth Warren for the materials. If indeed Geithner makes good on his promise, it will be a remarkable step in disclosure of government regulatory materials. We shall see if he does so.

In other news from the hearing, Geithner would not commit to conducting the stress tests again, despite the fact that the average unemployment rate for the year has hit the stress test model’s assumption.

He also said Treasury is still considering whether it will seek an extension of the Emergency Economic Stabilization Act, which allowed for the creation of Troubled Asset Relief Program (TARP). EESA expires at yearend, and the act allows Treasury to request an extension from Congress.

  Like This Post

JJ started the first iteration of Bank Innovation back in 2007, and has been working on it ever since. He also serves as President & Chief Executive Officer of Royal Media, Bank Innovation’s parent. He founded Royal in 1995 and oversees all aspects of the New York-based diversified media company. Prior to forming Royal, JJ was on the editorial staff of American Banker, the daily newspaper, and worked as an editor of a business magazine in Hong Kong. As a reporter and editor, he has won journalism awards from the National Press Foundation, Newsletter & Electronic Publishers Foundation, and the Reader’s Digest Foundation. He has a BS in Economics from Yeshiva University and a Master’s from the Columbia University Graduate School of Journalism. He was also a Fellow at the University of Wisconsin-Madison Graduate School of Banking. He lives in New York City with his wife, two daughters, and son. He counts among his accomplishments one New York City Marathon, two New York City Triathlons and the 2010 Father’s Day 5K, the first race he ever ran with his daughters. He can be reached at hornblass@gmail.com or 212-564-8972.

  • googleplus

Leave a Reply