If you are (even remotely) interested in the ongoing debate on capital requirements for banks in Basel 3, I highly recommend reading this post by Anat Admati, Professor of Finance and Economics at Stanford Graduate School of Business. The post is extremely readable and provides a compelling argument for (significantly) higher capital requirements for banks. To see Admati deliver her argument in a Bloomberg interview, see the embedded video.
Anat Admati Says Banks Should Increase Equity Capital: Video
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